HIVE Digital Technologies signs a $220 million GPU contract: betting on cloud computing
BUZZ HPC, a subsidiary of HIVE Digital Technologies, has signed a landmark three-year contract to provide cloud GPU services to Bell Canada and Cohere. The agreement is valued at approximately $220 million. This decision demonstrates a strategic shift by mining giants toward high-performance computing (HPC), which is becoming increasingly relevant amid cryptocurrency market volatility.
Under the contract, BUZZ HPC will deploy 2,304 NVIDIA Grace Blackwell GPUs on the Bell AI Fabric infrastructure located in British Columbia, Canada. The service launch is scheduled for late 2026 to early 2027. Once fully operational, this contract is expected to generate approximately $70 million in annual recurring revenue, significantly exceeding the current $35 million from existing operations.
This agreement highlights the growing role of GPU cloud solutions as a diversification tool for mining companies. HIVE Digital Technologies, traditionally known as a Bitcoin miner, is actively transforming into a provider of computing power for the AI sector. The partnership with Bell Canada and Cohere—one of the leading AI platforms—strengthens the company's position in the HPC market and lays the groundwork for stable long-term cash flow.
From my perspective, this move is strategically sound: miners that can effectively reallocate their resources between cryptocurrency mining and cloud computing will gain a competitive advantage. HIVE Digital Technologies exemplifies successful adaptation to new realities, where AI and HPC are becoming as important growth drivers as Bitcoin itself.