HIVE Digital jumps 11% on $350M AI GPU cloud contract, boosting AI pivot and revenue outlook.

HIVE Digital Technologies shares rose 11% after signing a $350 million, five-year GPU cloud services deal with an investment-grade enterprise customer. This contract supports HIVE's goal of $200 million annual recurring revenue in its GPU cloud business and marks a key step in its transition from bitcoin mining to AI computing. The deal involves deploying 2,016 NVIDIA GPUs at a Canadian facility, with expected annual revenue of $70 million and total capital expenditures of $185 million. The cluster should be operational later this year, with HIVE targeting $500,000 daily revenue from HPC and AI services, while financing the buildout through convertible debt and equipment loans. Investors will watch for execution progress and revenue realization.