HIVE Wins $220M AI Infrastructure Deal With Bell and Cohere

Canadian Bitcoin miner HIVE Digital Technologies is pushing deeper into artificial intelligence infrastructure, signing a three-year GPU cloud contract intended to support AI startup Cohere and its enterprise and government customers. The company says its BUZZ HPC arm will provide high-performance computing capacity at a Bell Canada data center in British Columbia.

HIVE disclosed that the agreement is valued at approximately $220 million and involves the deployment of 2,304 NVIDIA Grace Blackwell GPUs. Once the project is in service, HIVE expects the deal to generate about $70 million in contracted annual recurring revenue, lifting its contracted HPC revenue target to more than $100 million.

Key takeaways

• HIVE’s BUZZ HPC has signed a three-year GPU cloud contract worth about $220 million with Bell AI Fabric for Cohere.
• The contract calls for deploying 2,304 NVIDIA Grace Blackwell GPUs at a Bell Canada data center in British Columbia.
• After rollout, HIVE expects roughly $70 million in contracted annual recurring revenue from the project and a total HPC target above $100 million.
• HIVE plans to finance the AI infrastructure using proceeds from its April $115 million convertible note financing.
• The move aligns with a broader shift among miners toward AI and HPC, even as Bitcoin mining difficulty has recently fallen.

A major GPU cloud contract extends HIVE’s AI pivot

For HIVE, the new contract is part of a larger strategy to diversify beyond Bitcoin mining by monetizing HPC and AI infrastructure. The company’s BUZZ HPC unit will deliver the GPU capacity required for Cohere’s artificial intelligence models and services, according to the terms HIVE described.

The scale of the deployment—2,304 NVIDIA Grace Blackwell GPUs—signals a long-term commitment to serving AI workloads rather than treating AI compute as an incremental add-on. Instead, HIVE is positioning BUZZ HPC as a provider of dedicated GPU cloud capacity delivered from a major regional data center footprint.

HIVE also tied expected revenues directly to the project’s operating phase. The company said that once the deployment enters service, it anticipates about $70 million in contracted annual recurring revenue attributable to the contract. It further claims this would increase its contracted HPC revenue target to more than $100 million.

Funding plan and why contracted revenue matters

HIVE stated it will fund the AI infrastructure purchase using a portion of the proceeds from its April convertible note financing totaling $115 million. By pairing capital funding with a multi-year contract structure, HIVE is effectively aiming to reduce uncertainty around demand for compute capacity—at least for the specific workload allocation covered by the agreement.

From an investor perspective, contracted annual recurring revenue can be a more predictable indicator than ad hoc performance tied purely to market cycles. While Bitcoin mining economics depend heavily on network difficulty, power costs, and Bitcoin price, the company’s HPC revenue claims focus on signed arrangements intended to translate into recurring cash flows once infrastructure is deployed.

How this fits with HIVE’s recent operational trajectory

This latest contract arrives alongside other disclosures about HIVE expanding its AI footprint. In May, the company said its BUZZ HPC subsidiary planned a 320-megawatt AI data center campus near Toronto, designed to support more than 100,000 GPUs.

More recently, HIVE reported improvements in its HPC business. According to the company’s update, revenue from its HPC division rose to $19.5 million in fiscal 2026—nearly doubling from a year earlier. It also said contracted annual recurring revenue from the segment reached $35 million, supported by deployments of NVIDIA-powered GPU clusters and new enterprise contracts.

The company has also pointed to changes in its Bitcoin holdings. HIVE reported a decline in its Bitcoin treasury balance, falling to 150 BTC from 481 BTC earlier in the prior quarter, as tracked by BitcoinTreasuries.NET. While the note about treasury movement does not specify causation, readers should view it in the context of HIVE’s broader reallocation of capital toward AI and HPC infrastructure.

Mining difficulty declines as AI investment continues

While HIVE is building AI compute capacity, the Bitcoin network itself has been experiencing near-term downward pressure on mining difficulty. The Energy Mag (formerly The Miner Mag) reported that Bitcoin mining difficulty fell 10.09% on June 14—described as one of the largest downward adjustments in the network’s history. The outlet attributed the decline to weaker mining economics, Bitcoin’s price drop, seasonal power curtailment in Texas, and wider power-market dynamics.

The same report also raised a longer-term question: if miners divert some power and operational capacity toward AI and HPC projects, that could influence future hashrate growth by reducing the amount of capacity available for Bitcoin mining. In other words, the AI expansion trend could affect the balance between Bitcoin-secured hashpower and compute allocated to other high-demand workloads.

Cointelegraph previously reported that Bitcoin mining profitability had fallen to record lows, making it harder for some operators to stay profitable. Together with the difficulty drop, these signals suggest a more challenging near-term mining environment—even as capital investment and contract-making in AI compute continues to accelerate across parts of the mining sector.

Other firms have also continued moving into AI-adjacent infrastructure. Earlier this week, Cointelegraph reported that IREN completed its acquisition of Spanish data center developer Nostrum Group, while TeraWulf recently added a development site in Kentucky that it said could eventually support more than 1 gigawatt of AI and HPC capacity.

For HIVE and investors watching the broader miner-to-AI transition, the key next question is execution: whether contracted GPU capacity scales on schedule and whether additional enterprise and government AI contracts expand beyond the initial pipeline. With Bitcoin mining conditions fluctuating and difficulty recently stepping down, investors will likely monitor how quickly miners convert AI infrastructure commitments into sustained, measurable HPC revenue.