IREN Lands $2.8B in AI Contracts as Demand Pushes Target Above $4B

Microsoft and NVIDIA help IREN lock in 85% of its new $4 billion AI revenue target

IREN increased its year-end annualized revenue target for AI Cloud to more than $4 billion, up from $3.7 billion, as demand for IT capacity continues to outstrip supply.

The Nasdaq-listed company said around 85% of the new target is now covered by signed agreements. Recent multi-year cloud services contracts represent a total value of $2.8 billion.

IREN’s client list now includes Microsoft, NVIDIA, Perplexity, Figure AI, Together AI, Fluidstack, Fireworks AI, Fal AI and Hume AI. The company also added another major AI developer, which it did not identify. The contracts cover both bare metal infrastructure and managed cloud services.

Demand for AI extends to 2027

IREN said it is selective in how it allocates capacity before new infrastructure comes online. The company is seeking a mix of customers from hyperscalers, enterprises, AI developers and advanced research labs.

Demand remains above IREN’s existing and planned capacity. The company is already in discussions with customers for infrastructure that should be available throughout 2026 and 2027.

Over the past year, IREN has expanded its AI Cloud capacity by approximately 3 megawatts. It now plans to supply 480 MW in 2026 and is targeting 1.2 gigawatts in 2027.

Co-founder and co-CEO Daniel Roberts said the platform was rapidly evolving as IREN expanded its customer base. He commented:

We are proud to support leading companies in creating cutting-edge applications in design, physical AI and robotics, generative media, AI research and model development.

Prepayments reduce capital requirements

IREN also said that prices for new contracts continue to improve. Some customers have agreed to make upfront payments equal to approximately 45% of the capital cost of the graphics processing units associated with their deployments.

These payments reduce the amount of capital that IREN must provide before services begin generating revenue.

Across its portfolio, the company’s customer contracts have a weighted average duration of approximately four years. This gives IREN greater revenue visibility as it expands its data center network. As of June 30, 2026, the company held approximately $7.6 billion in cash and cash equivalents.