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.