HIVE Digital Technologies announced that its wholly owned subsidiary BUZZ High Performance Computing has entered a five-year GPU cloud services agreement valued at approximately $350 million with an unnamed investment-grade enterprise customer. The contract is expected to contribute roughly $70 million in annualized revenue and positions the company to generate about $500,000 in daily high-performance computing and AI revenue once the systems become fully operational in the fourth quarter.

The agreement lifts BUZZ HPC’s total annualized revenue to approximately $180 million. Of that figure, about $35 million is already realized, while the remaining $145 million is under contract and scheduled to come online through the end of 2026. The deal also advances HIVE toward its year-end target of $200 million in annualized recurring revenue for the GPU cloud business.

Dedicated NVIDIA Blackwell Cluster

Under the terms, BUZZ HPC will deploy a dedicated AI infrastructure cluster consisting of 2,016 NVIDIA Blackwell Ultra GPUs housed in GB300 NVL72 rack-scale systems. The installation will feature NVIDIA Quantum-X800 InfiniBand networking and VAST Data high-performance storage, following NVIDIA’s reference architecture to support large-scale AI training, inference and advanced enterprise workloads.

The cluster will be installed at the Bell AI Fabric facility in Merritt, British Columbia. The site operates entirely on renewable hydroelectric power and employs closed-loop liquid cooling that avoids continuous water consumption. Deployment is planned for later this year.

Capital Outlay and Financing

Capital expenditure for the cluster, related hardware and warranties is estimated at approximately $185 million. Funding will come from three sources: an upfront customer deposit of about $35 million, equal to 10 percent of the total contract value; proceeds from a zero-percent convertible bond issued in June 2026; and equipment financing. HIVE will retain ownership of the infrastructure at the end of the five-year term.

This is the second substantial GPU cloud commitment HIVE has secured since June. The earlier three-year agreement, valued at roughly $220 million, involves NVIDIA Grace Blackwell systems for Bell and Cohere at the same British Columbia location.

Broader Strategic Context

Executive Chairman Frank Holmes has pointed to roughly 400 megawatts of Canadian power capacity and the potential to bring more than 120,000 GPUs online over two years. In its most recent reported quarter, HIVE recorded $79.1 million in total revenue, of which $7.1 million came from the BUZZ HPC segment. Prior to the latest contract, contracted GPU cloud annualized revenue stood near $110 million.

The announcement coincides with a period of rising non-mining revenue for the company, which previously reported a significant year-over-year revenue increase in its fiscal first quarter. Shares of HIVE traded higher following the disclosure.

The transaction illustrates the continuing shift among Bitcoin mining operators toward providing high-performance computing capacity for artificial intelligence workloads, leveraging existing power infrastructure and data-center sites to secure multi-year contracted revenue streams.