Key facts
- HIVE Digital Technologies' subsidiary BUZZ HPC signed a $220 million, three-year contract with Bell Canada and Cohere.
- The deal involves deploying 2,304 NVIDIA GB200 GPUs at a Bell Canada data center in British Columbia.
- The infrastructure will support Cohere's AI models and services for enterprise and government clients.
- HIVE expects the project to generate approximately $70 million in annual recurring revenue.
- The company is advancing its pivot from Bitcoin mining to AI infrastructure.
- The deployment is expected between late 2026 and early 2027.
HIVE Digital Technologies, a Canadian company primarily known for Bitcoin mining, is significantly expanding its focus on AI infrastructure through its subsidiary BUZZ High Performance Computing (HPC). The company has announced a three-year, approximately $220 million contract with Bell Canada and Toronto-based AI firm Cohere.
The agreement involves the deployment of 2,304 NVIDIA Grace Blackwell GPUs at a Bell Canada data center in Merritt, British Columbia. This infrastructure will be utilized by Cohere to run its AI models and services for enterprise and government clients, aligning with Canada's push for sovereign AI capabilities.
HIVE expects this new contract to generate approximately $70 million in annual recurring revenue once deployment is complete, which is anticipated between late 2026 and early 2027. This addition boosts HIVE's contracted HPC revenue target to over $100 million. The company is funding the hardware acquisition through proceeds from a $115 million convertible note offering completed in April.
This strategic pivot from volatile cryptocurrency mining returns to the growing demand for AI compute is a key focus for HIVE. The company is also developing a larger 320-megawatt AI data center in the Greater Toronto Area, designed to house over 100,000 Nvidia GPUs and projected to generate substantial annualized recurring revenue upon full operation.