IREN Shares Rise After $9.7 Billion AI Cloud Deal With Microsoft

Core Insights - IREN Limited has signed a significant $9.7 billion AI cloud services agreement with Microsoft to deploy NVIDIA GB300 GPUs at its Texas campus [1][2] - The company also entered into a $5.8 billion agreement with Dell Technologies for the purchase of GPUs and related equipment [3] - IREN's stock price increased by 14.68%, closing at $76.41 following the announcements [4] Group 1: Agreements and Financials - The multi-year GPU cloud services contract with Microsoft spans five years and includes a 20% prepayment [2] - The agreement with Dell Technologies involves phased deployment of GPUs through 2026, supporting 200MW of critical IT load [3] - IREN plans to finance these capital expenditures through existing cash, customer prepayments, operating cash flows, and additional financing initiatives [3] Group 2: Strategic Implications - The partnership with Microsoft is seen as a demonstration of IREN's vertically integrated AI Cloud platform's strength and scalability [4] - The collaboration is expected to unlock new growth opportunities for both IREN and Microsoft, as well as their customers [4]