Hive Digital Technologies invests $30M in AI GPUs

Hive Digital Technologies has announced a significant investment of $30 million for the deployment of advanced Nvidia GPU clusters in Quebec, signaling a strategic shift towards high-performance computing and artificial intelligence.  

This investment will enable Hive to diversify its revenue streams beyond traditional Bitcoin (CRYPTO:BTC) mining operations.  

The company plans to install Nvidia H100 and H200 GPU clusters, with the H100 cluster featuring 248 GPUs already set to be operational by the end of 2024.  

The H200 cluster, which includes 508 GPUs, is expected to be deployed in early 2025.  

Both clusters will utilise renewable energy sources available in Quebec, aligning with Hive’s sustainability objectives.  

Hive anticipates that this expansion into AI-driven computing could generate over $35 million in annualized revenue by mid-2025.  

“Over the past year, we have collaborated closely with Nvidia and their OEM vendors, conducting thorough technical diligence,” Aydin Kilic, CEO of Hive, emphasised, highlighting the importance of the partnership.

He noted that this partnership has enhanced Hive's capabilities in operating GPUs for AI applications, which is crucial given the stringent uptime requirements for high-performance computing users.  

The move is also seen as a response to declining revenues from bitcoin mining following the recent halving event.  

Hive aims to convert its existing bitcoin mining infrastructure into tier-3 data centers focused on high-performance computing services.  

This transition is expected to provide higher profit margins compared to traditional cryptocurrency mining activities.  

With this strategic pivot, Hive Digital Technologies positions itself at the forefront of the growing AI industry while maintaining a commitment to sustainable practices in its operations.