IREN Limited (Nasdaq: IREN), a developer and operator of next-generation data centers, announced on Oct. 7 that it has signed new multi-year cloud contracts to deploy advanced Nvidia Blackwell GPUs. The company expects its artificial intelligence (AI) cloud segment to generate more than $500 million in annualized revenue by the end of the first quarter in 2026.
AI Demand Fuels Growth, Contracts Secured
IREN currently holds a total of 23,000 GPUs, of which 11,000 are already contracted with customers, representing approximately $225 million in annualized run-rate revenue. These contracted GPUs are expected to be operational by the end of 2025. The new Blackwell GPU contracts carry an average term of two years, locking in revenue ahead of hardware delivery.
“Our ability to rapidly transition from ASICs to GPUs across our British Columbia campuses, and the speed at which we’re building Horizon 1 & 2 in Childress, Texas, demonstrates how IREN is uniquely positioned to meet accelerating demand for AI compute,” said Daniel Roberts, co-founder and co-CEO of IREN. He highlighted the company’s nearly 3 gigawatts of secured power as a key advantage for scaling.
Data Center Expansion and Power Advantage
Beyond the initial 23,000 GPU deployment, IREN is in advanced discussions with existing and prospective customers. The company’s sites in British Columbia and its Horizon 1 & 2 data centers under construction in Childress, Texas, provide capacity for more than 100,000 future GPUs. IREN’s business spans three verticals: Bitcoin mining, AI cloud services, and the design and operation of tailored AI data center infrastructure, all powered by 100% renewable energy.
As the company evolves its business model from Bitcoin mining toward AI cloud services, IREN announced it will transition to a standardized reporting process used by industry peers and will discontinue monthly operational updates. The revenue targets are based on internal assumptions and are not fully guaranteed, as noted in the company’s release.