--- title: "IREN Jumps 10% as Microsoft Accepts First AI Data Center Under $9.7 Billion Deal" type: "News" locale: "en" url: "https://longbridge.com/en/news/295815282.md" description: "IREN shares surged over 10% after Microsoft formally accepted Horizon 1, the first of four AI data centers under a $9.7 billion cloud services deal. This milestone marks IREN's strategic pivot from Bitcoin mining to AI infrastructure. The 50-megawatt facility in Texas utilizes Nvidia GB300 systems. With all four Horizons operational, the contract is projected to generate approximately $1.94 billion in annualized revenue. While the move signals successful execution, significant capital expenditure and financing risks remain." datetime: "2026-08-13T14:16:54.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/295815282.md) - [en](https://longbridge.com/en/news/295815282.md) - [zh-HK](https://longbridge.com/zh-HK/news/295815282.md) generator: "portal-rs" --- # IREN Jumps 10% as Microsoft Accepts First AI Data Center Under $9.7 Billion Deal **IREN Ltd.** (NASDAQ:IREN) shares jumped over 10% Thursday after **Microsoft Corp.** (NASDAQ:MSFT) formally approved Horizon 1, clearing the first of four AI data centers IREN is building under their five-year, $9.7 billion cloud services deal. The milestone may be the clearest evidence yet that the company’s multibillion-dollar pivot from Bitcoin mining toward AI infrastructure is delivering. ## Microsoft Signs Off on First IREN AI Deployment Horizon 1 is a 50-megawatt deployment of **Nvidia Corp.** (NASDAQ:NVDA) GB300 systems at IREN’s Childress, Texas, campus. It is the first of four such facilities scheduled for 2026, which will together supply 200 megawatts of capacity. The sign-off means more than finished construction. Microsoft has a contractual five-day window to test each GPU deployment against agreed criteria. Once accepted, the service term begins and IREN can start invoicing Microsoft monthly. Nvidia separately granted Horizon 1 Exemplar Cloud status after testing the systems. The contract is expected to generate roughly $1.94 billion in annualized revenue once all four Horizons are running. ## From Bitcoin Miner to Microsoft AI Supplier IREN listed on the Nasdaq in 2021 describing itself as a Bitcoin mining company, and its accounts show how recent the pivot is. The company reported $511.5 million in Bitcoin mining revenue over the nine months through March, against $58.3 million from AI Cloud. Management now targets more than $4 billion in AI Cloud annualized run-rate revenue by year-end, with roughly 85% already under contract. The shift comes as Bitcoin remains under pressure. **Bitcoin** (CRYPTO: BTC) trades near $63,500, roughly half its October 2025 record, and traders on Polymarket currently put the chances of it touching $55,000 this year at 56%.. The Microsoft buildout gives investors exposure to AI infrastructure just as IREN’s original core market struggles. ## The Pivot Still Comes With a Huge Price Tag The deal requires roughly $5.8 billion in GPUs and related equipment purchased through **Dell Technologies Inc.** (NYSE:DELL). Microsoft is due to pay 20% of the contract value upfront across the four tranches, while IREN has secured $3.6 billion in GPU financing. Famed short-seller **Jim Chanos** has questioned the economics, warning, “This is a financing deal, w/IREN taking all the risk.” Thursday’s acceptance clears the first major execution hurdle, with Horizons 2-4 still due later this year. Whether the returns justify the capital remains open, but IREN just showed a Bitcoin miner can build the infrastructure powering the AI trade. *Image: Shutterstock* **Read Also: Elon Musk Says AI Will Be SpaceX's Biggest Business by September: Does the Math Check Out?** ### Related Stocks - [IREN.US](https://longbridge.com/en/quote/IREN.US.md) - [ARKB.US](https://longbridge.com/en/quote/ARKB.US.md) - [IBIT.US](https://longbridge.com/en/quote/IBIT.US.md) - [MSFT.US](https://longbridge.com/en/quote/MSFT.US.md) - [GBTC.US](https://longbridge.com/en/quote/GBTC.US.md) - [MSFD.US](https://longbridge.com/en/quote/MSFD.US.md) - [MSFX.US](https://longbridge.com/en/quote/MSFX.US.md) - [MSFO.US](https://longbridge.com/en/quote/MSFO.US.md) - [MSFU.US](https://longbridge.com/en/quote/MSFU.US.md) - [MSFL.US](https://longbridge.com/en/quote/MSFL.US.md) - [FBTC.US](https://longbridge.com/en/quote/FBTC.US.md) - [BITB.US](https://longbridge.com/en/quote/BITB.US.md) - [BITO.US](https://longbridge.com/en/quote/BITO.US.md) - [BRRR.US](https://longbridge.com/en/quote/BRRR.US.md) - [BTCO.US](https://longbridge.com/en/quote/BTCO.US.md) - [BTCW.US](https://longbridge.com/en/quote/BTCW.US.md) - [HODL.US](https://longbridge.com/en/quote/HODL.US.md) - [EZBC.US](https://longbridge.com/en/quote/EZBC.US.md) - [MSFW.US](https://longbridge.com/en/quote/MSFW.US.md) - [MSFY.US](https://longbridge.com/en/quote/MSFY.US.md) - [MAGX.US](https://longbridge.com/en/quote/MAGX.US.md) - [IREX.US](https://longbridge.com/en/quote/IREX.US.md) - [IRE.US](https://longbridge.com/en/quote/IRE.US.md) - [IREZ.US](https://longbridge.com/en/quote/IREZ.US.md) - [03008.HK](https://longbridge.com/en/quote/03008.HK.md) - [03042.HK](https://longbridge.com/en/quote/03042.HK.md) - [03430.HK](https://longbridge.com/en/quote/03430.HK.md) - [BTCE.DE](https://longbridge.com/en/quote/BTCE.DE.md) - [NVDA.US](https://longbridge.com/en/quote/NVDA.US.md) - [DELL.US](https://longbridge.com/en/quote/DELL.US.md) - [NVD.DE](https://longbridge.com/en/quote/NVD.DE.md) ## Related News & Research - [Amboss Opens Affiliate Program: Earn Recurring Bitcoin Commissions by Growing Bitcoin Payments](https://longbridge.com/en/news/296124824.md) - [IREN Just Passed Its Biggest AI Test as Microsoft and Nvidia Bet Billions](https://longbridge.com/en/news/296533962.md) - [Bitcoin Standard Treasury Company (BSTR) Terminates Business Combination, Team Continues Pursuing Active Bitcoin Treasury Management | CEPO Stock News](https://longbridge.com/en/news/296540800.md) - [Bitcoin lands on the same custody rails Citi uses for equities and bonds](https://longbridge.com/en/news/296272222.md) - [LinkedIn Just Cut Its Israel R&D Team. 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