IREN has signed a purchase agreement with Dell to acquire air-cooled Blackwell systems for installation at its Childress, Texas data centre campus.
The purchase, valued at approximately $1.6bn, is part of IREN’s plan to service its previously announced five-year, $3.4bn managed services AI cloud contract.
The transaction covers GPUs, servers, storage, networking equipment, integration services, and warranties, with payment due after shipment.
IREN is arranging GPU financing for the deal, maintaining its established approach to funding hardware deployments.
Deployment of the Blackwell systems is scheduled across existing facilities at the Childress campus, with operational commissioning planned for early 2027.
According to IREN, full commissioning of these systems as part of the AI cloud contract is expected to increase the company’s annualised run-rate revenue (ARR) from $3.7bn to $4.4bn. This projection encompasses anticipated $1.9bn average annual revenue from an existing contract with Microsoft, $700m from the new AI cloud contract, and estimated $1.8bn from planned GPU deployments at both the British Columbia and Childress locations.
IREN specified that these ARR targets rely on company assumptions about GPU models, utilisation rates and pricing, and are not yet fully contracted. The firm cautioned that actual revenue could differ, dependent on timely system delivery and full utilisation.
IREN co-founder and co-CEO Daniel Roberts said: “Securing capacity and accelerating commissioning are our top priorities in a market where time-to-compute is everything. Hyperscalers, enterprises and developers choose IREN as a partner because we own and control the full stack – the physical infrastructure, the compute, and the operational capability to deploy at scale.
“Our relationship with Dell ensures access to hardware at the scale and speed the market demands. Every deployment we complete makes the next one faster, and that compounding execution advantage is what we are building.”
In early May, the company executed a five-year AI infrastructure cloud services deal with Nvidia. Under this agreement, IREN will deliver managed GPU cloud services for Nvidia’s internal AI and research workloads. These services, including orchestration and cluster management software developed with Mirantis, will be provided using air-cooled Blackwell platform systems.
The infrastructure will be rolled out within around 60MW of existing data centre capacity at the Childress site, with the contract valued at approximately $3.4bn.
In its Q3 FY26 results for the quarter ending 31 March 2026, IREN reported total revenue of $144.8m, compared to $184.7m in the previous quarter.
