GoKawiilIREN shares surged in extended-trading on Thursday before giving back nearly all of the gains after the data center operator announced a partnership with semiconductor giant Nvidia .
Nvidia and IREN will deploy up to 5 gigawatts of the chip maker's DSX-branded infrastructure designs intended to power artificial intelligence workloads throughout the Australian firm's data center facilities across the world.
IREN shares climbed to around 27% as the news broke, then retreated and settled up about 6%.
Although IREN previously specialized in data centers that were tailored for bitcoin mining, it's been increasingly providing AI-related infrastructure services as part of the AI boom. In Nov. 2025, it inked a $9.7 billion deal with Microsoft as part of its AI push.
The data center operator will issue Nvidia a five-year right to purchase up to 30 million shares of its ordinary stock at an exercise price of $70 per share, the company said in an announcement. Nvidia will have the right to invest $2.1 billion into the company via the deal.
"AI factories are becoming foundational infrastructure for the global economy," Nvidia CEO Jensen Huang said in a statement. "Deploying these systems at scale requires deep integration across the full stack — compute, networking, software, power and operations."
Nvidia has bolstered its stack by making similar deals involving multibillion-dollar purchase agreements with companies like Coherent , Lumentum and earlier this week, Corning .
In a separate release, IREN said it signed a five-year deal worth $3.4 billion to provide Nvidia with access to managed GPU cloud services "for its internal AI and research workloads." The deployment will be at IREN's existing data centers in Childress, Texas.