IREN has taken a significant step into the European market by acquiring Nostrum Group, a Spanish data center developer. This move adds roughly 490 megawatts of grid-connected power capacity in Spain to IREN’s portfolio and brings in a development pipeline as well as over 50 specialized employees across engineering, construction, and operations.
This acquisition expands IREN’s global power capacity to about 5 gigawatts, with Spain now representing around 10% of that total. The company highlighted Spain’s advantageous combination of renewable energy and strong fiber connectivity as key factors making it an ideal launchpad for serving Europe’s expanding AI infrastructure demand.
IREN’s strategic shift toward AI cloud services aims to generate steadier, contract-based revenues amid increasing Bitcoin mining challenges, including rising mining difficulty and Bitcoin price volatility. The company reported growing revenues from its AI cloud segment, which more than doubled from the previous quarter, while income from Bitcoin mining declined.
Bitcoin mining remains IREN’s principal revenue source but shows signs of transitioning. The company earned $111.2 million from mining in the most recent quarter, down from $167.4 million, with AI cloud services generating $33.6 million, up from $17.3 million earlier. This shift aligns with industry analyst predictions that IREN could gradually phase out much of its Bitcoin mining as sites convert to AI data centers.
IREN has also increased its AI hardware capacity, citing about 150,000 GPUs installed or on order, with an expected annual revenue potential near $3.7 billion. This development fits a broader industry pattern seen across Europe, where Bitcoin mining firms like HIVE Digital and Bitdeer are repurposing facilities to build AI-focused computing infrastructure.