Strategic Pivot: BUZZ HPC Signs $220 Million GPU Contract and Shifts Mining Focus
A subsidiary of HIVE Digital Technologies — BUZZ HPC — has entered into a three-year agreement to provide cloud GPU services for Bell Canada and Cohere. The total contract value is estimated at $220 million, marking a significant step in the company's business diversification.
Deal Details and Technical Implementation
Under the contract, BUZZ HPC will deploy 2,304 NVIDIA Grace Blackwell graphics processors at the Bell AI Fabric facility located in British Columbia, Canada. The infrastructure launch is scheduled for late 2026 to early 2027. This will allow the company to significantly increase revenue: annual contract revenue is expected to reach $70 million, double the current $35 million from existing operations.
Analysis and Prospects
This deal demonstrates how mining companies are adapting to changing market conditions. Instead of relying entirely on the volatile cryptocurrency market, HIVE is actively investing in high-performance computing (HPC) and cloud GPU services, which are in growing demand in the fields of artificial intelligence and machine learning.
Expert Opinion: This contract is not just a financial transaction but a strategic signal to the market. The shift from traditional mining to HPC services could become a protective mechanism for companies seeking to stabilize revenues amid regulatory uncertainty and halving events. If HIVE successfully implements this project, we will see a wave of similar deals from other public miners, strengthening the position of GPU infrastructure as a new industry standard.