Shares of HIVE Digital Applied sciences (HIVE) rose as a lot as 40% on Monday after the bitcoin mining firm stated it spent $58 million shopping for land in Toronto to develop an industrial-scale synthetic intelligence heart.
The land, acquired by way of the corporate’s BUZZ Excessive Efficiency Computing subsidiary, will assist about 320 megawatts (MW) of capability and greater than 100,000 graphics processing items (GPUs) when totally geared up, turning into one of many “largest gigafactories in Canada,” the corporate stated.
The funding comes amid a broader shift away from bitcoin mining towards synthetic intelligence information facilities. Simply two weeks in the past, HIVE raised $115 million, with proceeds going towards increasing its international information heart footprint and GPU capability. The corporate has more and more leaned into information facilities in Canada, Sweden and Paraguay, positioning them for bitcoin mining, synthetic intelligence and high-performance computing (HPC) workloads.
“Computing is the brand new driver of the AI economic system,” Craig Tavares, president of BUZZ HPC, stated in a press release. “If Canada desires to steer in AI, we have to construct factories that produce intelligence right here at house. Canada has the clear power, community connectivity and analysis ecosystem to steer AI innovation world wide.”
The corporate’s shares rose as excessive as $3.92 on Nasdaq and have been just lately buying and selling 26% larger at $3.38.
Canada-based BUZZ HPC accomplished the strategic acquisition of roughly 21 acres of land for $46 million and an adjoining 4-acre website for $12 million.
The transaction locations industrial-scale large computing squarely inside Canada’s largest metropolitan economic system and one among North America’s main expertise, monetary companies and synthetic intelligence hubs, in line with San Antonio, Texas-based HIVE.
HIVE now has greater than 850 MW of energy globally, together with 450 MW of operational information facilities plus a portfolio of 400 MW of capability, which it expects to carry on-line in 2027.
