1. IREN signed a $9.7 billion AI deal with Microsoft. 2. The contract includes deploying NVIDIA GB300 GPUs for five years. 3. IREN expects strong growth from this collaboration with Microsoft. 4. IRN shares rose 14.68% following the announcement. 5. Microsoft's involvement unlocks new opportunities for both companies.
This agreement indicates Microsoft's strong demand in AI and cloud services, similar to prior partnerships boosting revenue. Historical examples include similar contracts leading to substantial stock price increases for tech companies involved.
The significant size of the contract and its AI focus highlight Microsoft’s competitive positioning in an important growth sector, likely spurring investment interest.
The multi-year nature of the contract suggests a steadier revenue stream for Microsoft, akin to previous long contracts that positively impacted valuations over time.