Microsoft and IREN entered a $9.7 billion, five‑year contract to secure AI‑cloud capacity, including Nvidia GB300 GPUs and 750 MW of compute at IREN’s Texas campus.
The deal addresses Microsoft’s capacity constraints for AI workloads, which have driven significant investment in new data‑center capacity. Microsoft plans to invest $80 billion in AI‑enabled data centers in FY 2025 and $34.9 billion in Q1 FY 2026, a 74% year‑over‑year increase largely driven by AI infrastructure.
IREN, formerly Iris Energy Limited, is diversifying from Bitcoin mining into AI cloud services. The contract is expected to generate approximately $1.94 billion in annualized revenue for IREN.
The partnership strengthens Microsoft’s position in the Asia‑Pacific region and expands its collaboration with Nvidia, securing access to the latest GPU technology for Azure AI services.
The deal is part of a broader trend of hyperscalers securing advanced AI infrastructure from neocloud providers to meet surging demand.
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