By Harshit, Nov. 3, 2025 8 AM EDT
Bitcoin mining companies are rapidly reinventing themselves as major players in artificial intelligence infrastructure. On Monday, Australia-based Iren (IREN) and U.S.-based Cipher Mining (CIFR) announced landmark partnerships with tech giants Microsoft (MSFT) and Amazon (AMZN), signaling a massive shift in the digital infrastructure economy.
Iren Strikes $9.7 Billion AI Cloud Deal with Microsoft
Iren confirmed a multiyear cloud-services agreement with Microsoft worth $9.7 billion, under which it will provide access to Nvidia Blackwell GB300 GPUs over a five-year period. Microsoft made a 20% prepayment, underscoring its growing urgency to secure advanced chips for expanding AI workloads.
As part of the deal, Iren will collaborate with Dell Technologies (DELL) to purchase the GPUs and related systems for approximately $5.8 billion. These high-performance units will be deployed at Iren’s Childress, Texas campus throughout 2026, transforming it into one of the largest AI data hubs in North America.
The move marks a turning point for Iren, once known primarily as a bitcoin mining firm, now evolving into a full-scale AI cloud service provider. The pivot to AI has sent Iren stock soaring 519% in 2025 through October 31. Shares surged another 21.2% to $73.65 before Monday’s open, nearing the record high of $74.15 set on October 15.
Cipher Mining Signs $5.5 Billion Deal with Amazon
In a parallel development, Cipher Mining announced a five-year, $5.5 billion agreement with Amazon Web Services (AWS) to supply 300 megawatts of AI computing capacity. The collaboration represents one of the most significant partnerships between a crypto miner and a hyperscale cloud provider.
Cipher also released its third-quarter results Monday, which were slightly below Wall Street expectations, but the Amazon deal overshadowed earnings. Shares of Cipher jumped 17%, approaching their mid-October peak of $22 in premarket trading.
Bitcoin Miners Reinvent Themselves as AI Infrastructure Players
Once focused exclusively on cryptocurrency, many mining firms are now leveraging their energy infrastructure and data center expertise to serve the AI industry. High-performance GPUs require similar cooling and power conditions as bitcoin rigs, making the transition a natural evolution.
Other companies in the sector followed Iren and Cipher’s rally:
- Core Scientific (CORZ) climbed 7.1%, signaling potential new highs after shareholders recently rejected a takeover bid from CoreWeave (CRWV), which many investors deemed undervalued.
- TeraWulf (WULF) rose 5.8%, extending gains after reaching an all-time high last week.
- Bitfarms (BITF) gained 5% premarket, rebounding from a recent 40% pullback.
- HIVE Digital Technologies (HIVE) advanced 2.7%, despite a 33% decline from its October peak.
Even as these firms pivot, bitcoin prices slipped modestly below $108,000, suggesting that crypto markets remain volatile despite renewed optimism around digital infrastructure plays.
Tech Giants Deepen AI Investment Amid Global Competition
The Iren and Cipher deals come as AI infrastructure spending accelerates globally. Microsoft announced plans to invest $15.2 billion in the United Arab Emirates between 2023 and 2029 and recently received approval to export Nvidia GPUs to the UAE, expanding its reach in the Middle East.
Nvidia (NVDA) shares rose 1.9%, hovering near record highs, buoyed by the Microsoft-UAE announcement and fresh price target upgrades. Dell stock also jumped 3.6%, touching record levels as investors anticipate strong demand for data center hardware.
“AI infrastructure demand is growing exponentially,” said analyst Daniel Ives of Wedbush Securities. “What we’re seeing is the early phase of a trillion-dollar arms race among hyperscalers to secure compute power. Deals like Iren-Microsoft are just the beginning.”
From Bitcoin to Blackwell: The New Gold Rush
For bitcoin miners, this pivot isn’t just diversification — it’s survival. With bitcoin halving events reducing rewards and energy costs soaring, AI infrastructure offers a more stable and lucrative revenue stream.
Iren CEO Dan Roberts described the Microsoft partnership as “a validation of our transformation from crypto mining to AI infrastructure leadership.” Analysts agree that such moves could reshape the mining sector entirely, with companies like Iren and Cipher positioned as next-generation cloud enablers.
As the race for AI compute power intensifies, what began as a speculative pivot for miners now looks like a long-term industrial shift. The convergence of crypto hardware, cloud services, and artificial intelligence may define the next decade of digital infrastructure — and bitcoin miners appear ready to lead the charge.