HIVE Digital Announces $350M Five-Year GPU Cloud Services Deal

What Happened

• HIVE Digital Technologies Ltd. announced on August 17, 2026 (8-K filed Aug 19, 2026) that its subsidiary BUZZ High Performance Computing Inc. entered a five-year GPU cloud services agreement with a high‑investment‑grade enterprise customer.
• The Customer will get access to a dedicated cluster of 2,016 NVIDIA Blackwell Ultra GPUs in NVIDIA GB300 NVL72 rack-scale systems, to be deployed at a Merritt, British Columbia facility. Deployment is expected in Q4 2026.

Key Details

• Contract value: Approx. $350 million total over five years.
• Hardware & deployment: 2,016 NVIDIA Blackwell Ultra GPUs in NVL72 rack-scale systems; site in Merritt, BC.
• Capital expenditures: Company expects ~ $185 million of capex (cluster, hardware, warranties).
• Customer deposit: Customer agreed to provide a deposit of ~10% of total contract value.
• Timing & documentation: Press release dated Aug 17, 2026 was furnished as Exhibit 99.1 to the Form 8-K filed Aug 19, 2026.

Why It Matters

• The deal provides substantial multi-year revenue visibility (≈$350M) and demonstrates HIVE/BUZZ winning large enterprise AI workloads and capacity commitments.
• The agreement requires significant upfront capital spending (~$185M), which will affect HIVE’s near-term cash needs and deployment plans; the ~10% deposit partially mitigates upfront counterparty risk.
• Deployment and financial outcomes remain subject to execution risks the company flagged (equipment delivery, commissioning, power/operating costs, counterparty credit risk and other factors), so timing and realized revenue depend on successful delivery and customer utilization.