This Bitcoin miner just signed a $350 million AI deal, but it needs $185 million to make it work

HIVE Digital Technologies’ $350 million AI cloud contract depends on a $185 million GPU buildout that must be completed in the fourth quarter before most of the revenue can begin.

The five-year agreement, signed by HIVE’s BUZZ High Performance Computing unit with an unnamed investment-grade enterprise customer, is expected to generate about $70 million in annualized revenue once the infrastructure is deployed.

BUZZ plans to install 2,016 NVIDIA Blackwell Ultra GPUs in GB300 NVL72 systems at HIVE’s Bell AI Fabric facility in Merritt, British Columbia. HIVE expects the hardware, related equipment, and service warranties to cost about $185 million, with deployment targeted for calendar Q4 2026.

The customer has agreed to provide an upfront deposit equal to roughly 10% of the contract value, or about $35 million. HIVE has not disclosed whether it has already received that payment.

That leaves the company relying on existing financing and additional equipment funding to complete the buildout.

HIVE raised $130 million from zero-percent exchangeable senior notes in June and said it raised $245 million from zero-percent notes during the quarter. Chief Executive Officer Aydin Kilic said proceeds from the bond and debt financing would help fund the GPU purchase.

The company has not disclosed how much of those proceeds remains available for the project or the terms and closing status of additional equipment financing.

Most contracted AI revenue is not yet live

The deal lifts BUZZ’s reported annual recurring revenue to about $180 million, but only around $35 million of that is currently active.

Another $145 million is contracted and expected to come online through the fourth quarter, meaning most of HIVE’s projected AI revenue still depends on hardware delivery, installation and commissioning.

HIVE defines ARR as annualized weekly, daily or quarterly revenue rather than reported revenue and warns that projected figures may not reflect future cancellations, discounts or service reductions.

Once the new infrastructure is operating, HIVE expects its HPC and AI business to generate about $500,000 of daily revenue.

The company recently reported $208 million of cash, though it has not disclosed how much is earmarked for the GPU deployment.

The contract therefore gives HIVE a significant pipeline of committed AI demand, but the economics now depend on execution: securing the remaining financing, receiving and commissioning the GPUs on schedule, and converting contracted capacity into live revenue by year-end.