HIVE's BUZZ Signs $30 Million in AI Cloud Contracts, Accelerating Global HPC Tier-III Data Center Expansion

Rhea-AI Summary

HIVE (TSXV:HIVE, NASDAQ:HIVE) announced BUZZ signed customer agreements totaling approximately $30 million in contract value over two-year fixed terms, supporting an initial 504 liquid-cooled GPUs deployment at Canada West expected online by March 31, 2026.

Management expects this phase to generate ~$15 million ARR for BUZZ and to lift HIVE's HPC annualized revenue from ~$20 million to ~$35 million, while targeting long-term growth toward $140 million ARR, subject to deployment milestones, capex, and operating costs.

Positive

• $30M in customer contracts over two-year fixed terms
• Initial deployment of 504 liquid-cooled Dell server GPUs
• Estimated $15M ARR from the initial GPU phase
• HPC revenue projected to rise from $20M to $35M annualized

Negative

• Initial Tier-III build could require approximately $70M in capex versus conversions
• Growth dependent on performance obligations and deployment milestones
• Company expects increased operating costs for power, cooling, and staffing
• Projected ARR and targets are subject to capital and utilization risks

Key Figures

AI cloud contracts: approximately $30 million total contract value Initial AI ARR: approximately $15 million annual recurring revenue HPC segment revenue: approximately $20 million to roughly $35 million annualized revenue +5 more

8 metrics

AI cloud contracts approximately $30 million total contract value BUZZ customer agreements over two-year fixed terms

Initial AI ARR approximately $15 million annual recurring revenue Expected from initial Canada West GPU deployment once fully operational

HPC segment revenue approximately $20 million to roughly $35 million annualized revenue Management expectation for HIVE’s HPC segment upon full deployment

Initial GPU deployment 504 GPUs First phase of liquid-cooled Dell server-based GPUs at Canada West

Tier-I capital intensity approximately $1 million per megawatt Typical infrastructure cost for Tier-I hashrate data centers

Tier-III benchmark capex approximately $70 million capital expenditures Industry estimate for comparable fully self-funded Tier-III GPU facility

Target GPU deployment 2,000 AI-optimized GPUs Management’s target for Canada West facility this year

HPC ARR vision approximately $140 million ARR Management vision for HPC GPU AI cloud business over the next year

Market Reality Check

Price: $2.14 Vol: Volume 4,047,161 is below...

low vol

$2.14 Last Close

Volume Volume 4,047,161 is below 20-day average 11,989,322 (relative volume 0.34x). low

Technical Shares at 2.14, trading below 200-day MA at 3.03 and 72.7% under 52-week high 7.84.

Peers on Argus

HIVE fell 4.04% with crypto/financial peers mostly lower: BTBT -5.03%, BITF -4.3...

HIVE fell 4.04% with crypto/financial peers mostly lower: BTBT -5.03%, BITF -4.38%, FUFU -2.37%, OPY -2.14% while AMRK gained 2.17%, indicating a broader risk-off tilt with some idiosyncratic moves.

Previous AI Reports

4 past events · Latest: Jun 24 (Positive)

Same Type Pattern 4 events

Date	Event	Sentiment	Move	Catalyst
Jun 24	AI cluster launch	Positive	+10.8%	BUZZ launched new NVIDIA Hopper GPU cluster as sovereign AI cloud expansion.
Jun 24	AI cluster launch	Positive	-1.8%	Companion release on Quebec Hopper cluster and sovereign AI platform scale.
Dec 24	GPU investment	Positive	+5.4%	Announced <b>$30M</b> NVIDIA H100/H200 clusters with sizeable AI revenue expectations.
Dec 24	GPU investment	Positive	+5.4%	Detailed Quebec NVIDIA GPU suite and plans to grow HPC and AI services revenue.

Pattern Detected

AI/HPC expansion headlines have generally seen positive price reactions, with 3 aligned moves and 1 divergence in past AI-tag events.

Recent Company History

Recent AI-tag news for HIVE has focused on BUZZ HPC’s sovereign AI cloud growth and NVIDIA GPU investments. On Jun 24, 2025, BUZZ launched another NVIDIA Hopper cluster in Quebec, its third supercomputing cluster across Canada and Sweden, with one release seeing a 10.78% gain and a companion release down 1.76%. On Dec 24, 2024, HIVE disclosed a $30 million H100/H200 GPU investment in Quebec, tied to expected annualized HPC revenue above $20 million, with both related headlines followed by 5.39% gains.

Historical Comparison

+5.0% avg move · In recent AI-focused announcements, HIVE’s shares moved an average of 4.95%, with most BUZZ/HPC expa...

AI

+5.0%

Average Historical Move AI

In recent AI-focused announcements, HIVE’s shares moved an average of 4.95%, with most BUZZ/HPC expansion updates drawing positive but moderate reactions and one notable divergence.

AI-tag history shows a progression from investing in Quebec NVIDIA clusters and sovereign AI clouds to today’s BUZZ contracts that begin converting GPU capacity into contracted ARR and higher targeted HPC revenue.

Market Pulse Summary

This announcement details BUZZ’s transition from GPU infrastructure build-out to contracted AI cloud...

Analysis

This announcement details BUZZ’s transition from GPU infrastructure build-out to contracted AI cloud revenue, with about $30 million in two-year contracts and an expected $15 million ARR contribution. Management frames this within a broader plan to lift HPC revenue from roughly $20 million to $35 million and ultimately toward $140 million ARR. Investors may watch future AI-tag updates, actual deployment timing for the 504-GPU cluster, and any revisions to revenue targets or capital spending.

Key Terms

high-performance computing, GPU, hashrate, ARR, +1 more

5 terms

high-performance computing technical

"the Canadian Tier-III high-performance computing ("HPC") data center platform of HIVE"

A cluster of very powerful computers, special chips and fast networks designed to tackle huge, complex calculations far faster than a normal PC — like replacing a single delivery van with a synchronized fleet to move a city’s worth of packages. For investors, high-performance computing matters because it enables faster product development, more accurate simulations and data analysis, and new revenue streams for hardware, software and services, making firms that supply or use it potentially more competitive and scalable.

GPU technical

"four years of experience operating GPU infrastructure, BUZZ is accelerating its expansion"

A GPU (graphics processing unit) is a specialized computer chip designed to handle many calculations at once, originally for rendering images and video but now widely used for tasks like artificial intelligence, data analysis and high-performance computing. Investors watch GPU demand and prices because strong sales often signal growth for chip makers and their customers, affect profit margins and capital spending, and can forecast wider trends in gaming, AI adoption and cloud services.

hashrate technical

"established Tier-I hashrate services provider and reinforcing its position"

Hashrate is a measure of how quickly a computer network can process and verify transactions, often expressed as the number of calculations it can perform in a second. Think of it like the engine power of a car; the higher the hashrate, the more work the network can do in a given time. For investors, a higher hashrate generally indicates a more secure and robust network, which can influence confidence and the value of related digital assets.

ARR financial

"expects this initial phase to generate approximately $15 million in annual recurring revenue ("ARR")"

ARR, or Annual Recurring Revenue, is the predictable income a business expects to earn each year from ongoing customer subscriptions or contracts. It’s like a steady paycheck that shows the company's ability to generate consistent revenue over time, helping investors assess its stability and growth potential. ARR provides a clear picture of how well a company is performing in building long-term customer relationships.

colocation technical

"pursuing selective Tier-III conversions and colocation strategies for HPC"

Colocation is the practice of placing a trader’s computer servers inside or next to an exchange’s data center so their orders travel the shortest possible distance to the exchange’s computers. For investors this matters because even tiny gains in speed can mean better trade prices or reduced slippage—like being first in line at a checkout—so firms that colocate can gain steady, measurable advantages or incur extra costs that affect returns.

AI-generated analysis. Not financial advice.

This news release constitutes a "designated news release" for the purposes of the Company's prospectus supplement dated November 25, 2025 to its short form base shelf prospectus dated October 31, 2025.

San Antonio, Texas--(Newsfile Corp. - February 13, 2026) - BUZZ High Performance Computing ("BUZZ"), the Canadian Tier-III high-performance computing ("HPC") data center platform of HIVE Digital Technologies Ltd. (TSXV: HIVE) (NASDAQ: HIVE) (FSE: YO0) (BVC: HIVECO) ("HIVE" or the "Company"), today announced a major step forward in its AI cloud strategy, signing customer agreements representing approximately $30 million in total contract value over two-year fixed terms, subject to performance obligations and deployment milestones (all amounts in US dollars, unless otherwise indicated).

Building on four years of experience operating GPU infrastructure, BUZZ is accelerating its expansion as HIVE's AI engine, complementing the Company's established Tier-I hashrate services provider and reinforcing its position as a twin-engine leader in next-generation digital infrastructure.

The new contracts underpin the initial phase of BUZZ's AI-optimized GPU deployment at its Canada West location in Manitoba, with compute capacity expected to come online during the quarter ending March 31, 2026. The first phase consists of 504 liquid-cooled Dell server-based GPUs, purpose-built for high-performance AI and HPC workloads.

Based on executed contracts, current pricing, and deployment schedules, management expects this initial phase to generate approximately $15 million in annual recurring revenue ("ARR") to BUZZ's cloud business once fully operational. Upon full deployment, management expects total annualized revenue attributable to HIVE's HPC segment, driven by BUZZ, to grow from approximately $20 million currently to roughly $35 million, reflecting strong contracted demand for BUZZ's AI cloud platform. These projections are subject to capital expenditures, operating costs, customer utilization levels, and other risk factors described herein, and actual results may vary.

To support this growth, the Company expects to incur capital expenditures related to GPU acquisition, supporting electrical and cooling infrastructure, and working capital requirements. Operating expenses are expected to include power, hosting, maintenance, staffing, and network costs. BUZZ continues to expand capacity at its Canada West site in alignment with executed customer agreements.

Management Commentary

Frank Holmes, Executive Chairman of HIVE, commented:

"We are entering 2026 with strong momentum in our HPC and GPU cloud business. HIVE has built a track record as one of the longest-standing publicly traded crypto Tier-I data center operators, performing through multiple market cycles while protecting cash flow and balance sheet strength. Now, with BUZZ, we are leveraging that foundation to build a high-growth AI cloud platform spanning Canada, Sweden, and Paraguay.

Tier-I data centers for hashrate services typically require approximately $1 million per megawatt of infrastructure, whereas Tier-III facilities supporting advanced GPU clusters can require materially higher capital intensity due to premium GPU hardware, redundant power architecture, and advanced cooling systems. Industry benchmarks suggest that constructing and equipping a comparable fully self-funded Tier-III facility with similar GPU capacity could require approximately $70 million in capital expenditures, depending on site conditions, financing structure, vendor pricing, and market dynamics.

Through vendor financing arrangements for GPUs and strategic Tier-III data center partnerships, we are scaling efficiently while reducing upfront capital intensity compared to a fully self-funded build. Where HIVE owns land and buildings and operates its Tier-I facilities, we are pursuing selective Tier-III conversions and colocation strategies for HPC. This showcases our vertically integrated model and diversified revenue streams from both HPC colocation and GPU AI cloud services, reinforcing HIVE's dual-engine strategy of hashrate services and high-performance computing."

Aydin Kilic, President and Chief Executive Officer of HIVE, added:

"Our vision is to scale our HPC GPU AI cloud business toward approximately $140 million in ARR over the next year, subject to market conditions and successful infrastructure deployment. As we execute, this growth will be supported by continued investment in infrastructure and operations. In our previous earnings webcast, we outlined a target deployment of 2,000 AI-optimized GPUs at our Canada West facility this year. The initial 504-GPU deployment is already backed by executed customer agreements representing approximately $30 million in total contract value over two years, subject to performance obligations and deployment milestones.

This is just the beginning. Demand for long-term access to high-performance, power-efficient AI compute continues to expand globally, and we are excited to further scale our GPU cloud business throughout 2026."

Craig Tavares, President and Chief Operating Officer of BUZZ HPC, commented:

"Canada requires more sovereign AI compute capacity, both to serve domestic workloads and to support global AI companies from a secure Canadian base. With Dell and Bell Canada as key partners, we are scaling GPU capacity with the infrastructure, connectivity, and resiliency needed to compete on a global stage.

BUZZ was recently recognized by SemiAnalysis for having one of the fastest data center networks globally and earned a Bronze rating in their ClusterMAX report, validating our technical architecture and execution capabilities.

Launching this cluster in Canada West marks a significant milestone. It expands BUZZ's national footprint and advances our vision of coast-to-coast AI infrastructure, with commercial-grade clusters operating at scale to serve both sovereign workloads and international demand. Under HIVE's dual-engine model, BUZZ is positioned to be a powerful growth catalyst as we accelerate into the global AI supercycle."

About HIVE Digital Technologies Ltd.

Founded in 2017, HIVE Digital Technologies Ltd. is the first publicly listed company to mine digital assets powered by green energy. Today, HIVE builds and operates next-generation Tier-I and Tier-III data centers across Canada, Sweden, and Paraguay, serving both Bitcoin and high-performance computing clients. HIVE's twin-turbo engine infrastructure-driven by hashrate services and GPU-accelerated AI computing-delivers scalable, environmentally responsible solutions for the digital economy.

For more information, visit hivedigitaltech.com, or connect with us on:

X: https://x.com/HIVEDigitalTech
YouTube: https://www.youtube.com/@HIVEDigitalTech
Instagram: https://www.instagram.com/hivedigitaltechnologies/
LinkedIn: https://linkedin.com/company/hiveblockchain

On Behalf of HIVE Digital Technologies Ltd.

"Frank Holmes"
Executive Chairman

For further information, please contact:

Nathan Fast, Director of Marketing and Branding

Frank Holmes, Executive Chairman

Aydin Kilic, President & CEO

Tel: (604) 664-1078

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

Forward-Looking Information

Except for the statements of historical fact, this news release contains "forward-looking information" within the meaning of the applicable Canadian and United States securities legislation and regulations that is based on expectations, estimates and projections as at the date of this news release. "Forward-looking information" in this news release includes but is not limited to: statements regarding deployment timelines, projected annual recurring revenue, anticipated utilization, capital expenditures, operating costs, future GPU capacity, the Company's objective to scale its HPC GPU AI cloud business, and other forward-looking information concerning the intentions, plans and future actions of the parties to the transactions described herein and the terms thereon.

Factors that could cause actual results to differ materially from those described in such forward looking information include, but are not limited to: delays in equipment delivery or commissioning, changes in customer demand, counterparty credit risk, fluctuations in power and operating costs, competitive pricing pressures, regulatory developments, capital availability, and geopolitical conditions, and other related risks as more fully set out in the Company's disclosure documents under the Company's filings at www.sec.gov/EDGAR and www.sedarplus.ca.

The forward-looking information in this news release reflects the Company's current expectations, assumptions, and/or beliefs based on information currently available to the Company. In connection with the forward-looking information contained in this news release, the Company has made assumptions about the Company's objectives, goals or future plans, the timing thereof and related matters. The Company has also assumed that no significant events will occur outside of the Company's normal course of business. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance, and accordingly, undue reliance should not be put on such information due to its inherent uncertainty. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether because of new information, future events or otherwise, other than as required by law.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/283811

FAQ

What contracts did HIVE (HIVE) announce on February 13, 2026?

HIVE announced BUZZ signed customer agreements totaling approximately $30 million over two-year fixed terms. According to the company, these contracts back an initial 504-GPU deployment at its Canada West site expected online by March 31, 2026.

How many GPUs will HIVE bring online in the initial BUZZ deployment and when?

The initial phase comprises 504 liquid-cooled GPUs, with compute capacity expected online in Q1 2026. According to the company, deployment timing targets the quarter ending March 31, 2026, subject to deployment milestones and performance obligations.

What revenue impact does HIVE expect from the BUZZ GPU deployment (HIVE)?

Management expects the initial phase to generate approximately $15 million ARR for BUZZ once fully operational. According to the company, HIVE's HPC annualized revenue could grow from about $20M to roughly $35M on full deployment.

What capital and operational costs did HIVE highlight for BUZZ expansion?

HIVE expects capital expenditures for GPUs, electrical and cooling infrastructure, plus increased power and staffing costs. According to the company, these capex and operating cost requirements affect timing and net ARR realization.

How material is the announced BUZZ business for HIVE's growth targets?

The company projects scaling GPU AI cloud toward roughly $140 million ARR over the next year, subject to market and deployment success. According to the company, the $30M in contracts and staged GPU builds underpin early traction toward that target.

Are the BUZZ contracts unconditional for HIVE's (HIVE) revenue recognition?

No; the contracts are subject to performance obligations and deployment milestones that can affect timing. According to the company, actual revenue depends on customer utilization, milestone completion, and capital deployment outcomes.