HIVE Digital Lands $350 Million AI Cloud Deal Using NVIDIA Blackwell GPUs
The five-year agreement with an enterprise customer accelerates HIVE's transition from Bitcoin mining to high-performance computing.
HIVE Digital Technologies has signed a five-year GPU cloud services agreement with an investment-grade enterprise customer valued at approximately $350 million. Executed through its subsidiary, BUZZ High Performance Computing Inc. (BUZZ HPC), the deal significantly expands the company's artificial intelligence infrastructure capabilities.
The contract adds roughly $70 million in annualized revenue, bringing BUZZ HPC's total annualized revenue to approximately $180 million. To support the agreement, HIVE will deploy a dedicated AI cluster featuring 2,016 NVIDIA Blackwell Ultra GPUs housed in NVIDIA GB300 NVL72 rack-scale systems. The technical stack is supported by VAST Data storage and NVIDIA Quantum-X800 InfiniBand networking. HIVE expects total capital expenditure for this deployment to be approximately $185 million and will receive an upfront deposit of $35 million, representing 10% of the total contract value.
A Strategic Pivot from Mining
This agreement is a cornerstone of HIVE Digital Technologies' broader transition from Bitcoin mining toward becoming a sustainable digital infrastructure provider. By repurposing existing data center assets and leveraging access to renewable energy, the company is diversifying its revenue streams to reduce exposure to the inherent volatility of the cryptocurrency market. This shift allows HIVE to utilize the same power-intensive infrastructure required for mining to serve the surging demand for high-performance computing (HPC) and AI cloud services.
Industry Implications
The scale of the $350 million deal highlights a growing trend of Bitcoin miners pivoting into the AI infrastructure space. By securing investment-grade enterprise clients and deploying cutting-edge NVIDIA hardware, HIVE is positioning itself as a viable competitor in the GPU cloud market. This transition signals that energy-dense facilities originally built for blockchain operations can be successfully converted into hubs for large-scale AI workloads, providing a strategic blueprint for other mining firms seeking financial stability.
Future Outlook
HIVE is now aggressively pursuing a year-end target of $200 million in annual recurring revenue (ARR) for its GPU cloud business. "We are pleased to announce this agreement as we accelerate towards our year-end target of $200 million of ARR for our GPU cloud business," said Aydin Kilic, President and CEO of HIVE Digital Technologies. Market observers will be watching to see if HIVE can maintain this momentum and secure additional enterprise contracts to meet these ambitious financial goals.