IREN Shares Jump 4% on $1.6B Dell Blackwell AI Deal

IREN shares rose 4% in pre-market trading after the company entered a $1.6 billion purchase agreement with Dell Technologies for air-cooled Blackwell systems. The deal represents a major step in scaling the company's artificial intelligence infrastructure, the company said on Wednesday.

The agreement will support IREN’s previously announced five-year, $3.4 billion managed services AI cloud contract. The air-cooled Blackwell systems are intended to expand IREN’s AI cloud business and strengthen its ability to meet growing demand for AI compute capacity.

The new systems will be deployed across the company’s existing data centers in Childress, Texas. Commissioning is targeted for early 2027.

Once operational, the AI cloud contract is projected to increase IREN’s annualized run-rate revenue from $3.7 billion to $4.4 billion. The Dell agreement will support IREN’s expanding AI cloud business and boost projected annualized revenue to $4.4 billion by 2027.

Co-founder Daniel Roberts said speed and execution remain critical in the rapidly expanding AI market. “Securing capacity and accelerating commissioning are our top priorities in a market where time-to-compute is everything,” Roberts said. “Our relationship with Dell ensures access to hardware at the scale and speed the market demands.”

The agreement highlights increasing demand for AI compute capacity as hyperscalers, enterprises, and developers race to secure infrastructure for next-generation AI workloads. The systems will be deployed at IREN’s Childress, Texas facilities to support its long-term AI cloud services contract.