IREN finalizes $1.6 billion purchase of Nvidia Blackwell systems from Dell to support AI cloud infrastructure at Texas data center

IREN completed a $1.6 billion purchase agreement with Dell Technologies for air-cooled Blackwell GPU systems, with payment structured on a post-shipment basis. The hardware will be integrated at IREN's Childress, Texas data center and is designed to support a previously announced five-year, $3.4 billion AI cloud contract with Nvidia. Commissioning is slated to begin in early 2027.

Once fully commissioned, the new AI cloud contract is projected to increase IREN's annualized run-rate revenue (ARR) from $3.7 billion to $4.4 billion. The company plans to secure dedicated GPU financing to fund the deployment.

IREN's stock gained nearly 1% after-hours following the announcement. 14 analysts have a 12-month price target of $75, representing nearly 26% upside from Tuesday's closing price.