IREN's AI revenue booms as it seeks up to $1.5b in fresh capital
IREN says new AI data centre contracts will boost its revenue by hundreds of millions of dollars as it launches a USD1 billion fundraise to drive further growth.
IREN’s market value has surged past Suncorp and Origin Energy after the company announced on Wednesday it had contracted out 11,000 Nvidia GPUs to AI players and would seek to raise up to USD1 billion ($1.5 billion) for further growth.
IREN said the contracts to put 11,000 GPUs to work would generate “approximately” USD225 million in annualised revenue — or USD18.75 million per month — by the end of the year. That’s a substantial jump from the USD2.4 million it earned in August from its AI cloud division.
The Sydney-based, Nasdaq-listed company has been on an extraordinary rally thanks to its expansion from a pure Bitcoin miner to a builder of data centres designed for the AI age. Its stock has risen 660% in the past year, giving it a market capitalisation of USD16.78 billion.
IREN declined to reveal its new AI cloud customers but said the average contract duration was two years.
