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Microsoft Taps IREN for $9.7 Billion GPU Hosting to Expand AI Capacity

The agreement secures phased GB300 capacity at IREN’s Childress site through 2026.

Overview

  • Microsoft prepaid roughly 20% of the contract value, providing about $1.9 billion upfront to de‑risk delivery.
  • IREN entered an approximately $5.8 billion procurement with Dell for Nvidia GB300 systems and supporting infrastructure.
  • The deployment will roll out at IREN’s 750 MW Childress, Texas campus with liquid‑cooled data centers designed for about 200 MW of IT load.
  • IREN shares hit record levels as analysts lifted targets, including Cantor to $142 and Bernstein to $125, with estimates pointing to roughly $2 billion in annual AI cloud revenue by 2027.
  • The contract includes delivery protections with a reported walk‑away clause, and it uses only a small portion of IREN’s total power capacity, leaving room for additional deals.