HIVE Digital Technologies' GPU cloud subsidiary has signed a five-year, $350 million contract with an enterprise customer to deploy 2,016 NVIDIA Blackwell Ultra GPUs in British Columbia.
The agreement adds approximately $70 million in annualized revenue, bringing BUZZ HPC's total to about $180 million, and supports HIVE's aim to reach $200 million in annualized GPU cloud revenue by year-end.
What happened
HIVE Digital Technologies' subsidiary BUZZ High Performance Computing signed a five-year agreement valued at approximately $350 million with an investment-grade enterprise customer. The deal includes deployment of 2,016 NVIDIA Blackwell Ultra GPUs at the Bell AI Fabric facility in Merritt, British Columbia, expected to become operational in the fourth quarter. BUZZ HPC's total annualized revenue will reach approximately $180 million, comprising approximately $35 million in active, realized annualized revenue and $145 million in contracted revenue expected to come online through the fourth quarter of 2026.
Why it matters
The agreement generates approximately $70 million in annualized revenue and moves HIVE closer to its stated goal of reaching $200 million in annualized revenue for its GPU cloud business by year-end. The upfront deposit of approximately $35 million (about 10% of the contract value) provides near-term cash flow, while the long-term contract with an investment-grade customer offers stable, predictable revenue. The infrastructure will support large-scale AI training and inference workloads for enterprise customers seeking dedicated GPU capacity.
What to watch
HIVE expects its HPC and AI daily revenue to reach approximately $500,000 once the NVIDIA infrastructure is delivered and deployed in the fourth quarter. Capital expenditures for the full deployment total approximately $185 million. The company also stated it has approximately 400 MW of capacity in Canada for Tier III data center development with the potential to bring over 120,000 GPUs online over the next 2 years.
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HIVE Digital Technologies is making a strategic push into GPU-based AI infrastructure after years of building expertise in ASIC computing and data center operations. The five-year contract with an investment-grade customer represents a material step forward for the company's wholly-owned subsidiary BUZZ High Performance Computing, which aims to serve enterprises needing dedicated, large-scale AI training and inference capacity. The deal structure—combining long-term revenue visibility with an upfront deposit—reflects the company's effort to secure stable cash flows while deploying capital-intensive infrastructure. The Merritt facility's reliance on renewable hydroelectric power and closed-loop liquid cooling positions HIVE's offering as an environmentally sustainable alternative in a competitive GPU cloud market where power availability and energy costs are key constraints.
HIVE's stated goal of reaching $200 million in annualized revenue for its GPU cloud business by year-end is now supported by this contract and previously announced financing. The company's comments about 400 MW of available data center capacity in Canada and the potential to deploy over 120,000 GPUs in the next two years suggest HIVE sees significant runway to fill existing infrastructure with customer workloads. The progression from approximately $35 million in active, realized annualized revenue to $145 million in contracted revenue (expected online through Q4 2026) indicates that deal-making is now translating into deployments, though execution risk remains until infrastructure is fully operational.
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