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Microsoft inks $9.7bil deal with Australia's IREN for AI cloud capacity

1. Microsoft signs $9.7 billion AI cloud contract with IREN. 2. Deal enhances Microsoft's capacity with Nvidia’s GB300 GPUs. 3. IREN expects $1.94 billion annual revenue from Microsoft's usage. 4. Microsoft's AI strategy includes multiple GPU deals across data centers. 5. IREN shifted focus from Bitcoin mining to AI workloads.

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FAQ

Why Bullish?

This significant investment indicates Microsoft's strong commitment to expanding AI capacity, similar to past expansions driving growth.

How important is it?

The large-scale contract represents a pivotal strategic move in AI services, critical for competitive positioning.

Why Long Term?

The sustained AI push will likely result in market share expansion and profitability over multiple years.

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