"" HIVE Digital Technologies has taken a significant step towards expanding its offerings beyond Bitcoin mining, announcing a five-year GPU cloud services agreement worth approximately $350 million.
The deal, signed with an unnamed investment-grade enterprise customer, centers on the deployment of 2,016 NVIDIA Blackwell Ultra GPUs in GB300 NVL72 rack-scale systems with InfiniBand networking. This contract is projected to generate approximately $70 million in annualized recurring revenue, bringing the subsidiary's total contracted ARR to around $180 million.
This new agreement follows a separate $225 million three-year contract announced earlier in 2026. The company's approach to funding the build-out of GPU cloud infrastructure is based on cash flow from Bitcoin mining, reflecting its origins as a crypto miner seeking cheap, clean power in locations like Sweden, Iceland, and Paraguay.
HIVE's data centers run on renewable energy, and the company is building a multi-phase AI gigafactory in the Greater Toronto Area, expected to be energized by late 2027, with operations beginning in early 2028. The company is also adding substation capacity in Paraguay, with that expansion planned for energization near the end of 2026.
The long-term revenue target of $1 billion in total revenue gives the contracted ARR trajectory some structural scaffolding, and the company's dual-engine model using cash flow from Bitcoin mining to fund the build-out of GPU cloud infrastructure suggests a serious pivot towards high-performance computing.
HIVE's High-Performance Computing Ambitions
The $350 million GPU cloud services agreement is a significant step towards HIVE's goal of becoming a major player in the high-performance computing market. With its focus on renewable energy and AI, the company is well-positioned to capitalize on the growing demand for cloud computing services.
Implications for the Crypto Industry
This new development has significant implications for the crypto industry, which has traditionally been associated with Bitcoin mining. As HIVE expands its offerings beyond mining, it may attract new customers and investors looking for alternative uses for their digital assets.
Future Outlook
With its diversified revenue streams and expanding infrastructure, HIVE is well-positioned for long-term growth and success in the high-performance computing market.
categories": [ "bitcoin