IREN Limited has signed multi-year AI cloud services contracts worth approximately $2.8 billion [1].
The deal signals a strategic pivot for the NASDAQ-listed company as it seeks to transition from Bitcoin mining toward higher-margin AI infrastructure. This shift allows IREN to capture the surging demand for cloud computing power required by large-scale artificial intelligence developers.
Following the announcement, the company raised its 2026 AI Cloud annualized run-rate revenue target to over $4 billion [3]. This is an increase from the previous target of $3.7 billion [3]. According to company data, approximately 85% of that 2026 target is now under contract [3].
The company's client list includes leading U.S.-based AI developers, such as Microsoft and Nvidia [4, 3]. By securing these long-term agreements, IREN aims to convert contracted demand into sustained profitability.
Investors reacted positively to the news. The company's stock price surged 21% to $40.57 [1]. Other reports indicated the share price sat at $37 prior to the surge [0].
IREN provides the physical and digital infrastructure necessary to host AI workloads. This involves maintaining massive data centers that can handle the energy and cooling requirements of modern GPUs. The company is utilizing its existing power capacity, originally built for cryptocurrency mining, to support these AI cloud services [4].
“IREN signed multi-year AI cloud services contracts worth approximately $2.8 billion.”
This move reflects a broader trend in the data center industry where firms are repurposing energy-intensive Bitcoin mining sites for AI workloads. Because AI cloud services typically offer higher margins and more stable long-term contracts than the volatile cryptocurrency market, IREN is attempting to stabilize its balance sheet and diversify its revenue streams to appeal to institutional investors.
