IREN Limited IREN is expanding its liquid-cooled data center infrastructure to capitalize on growing demand for artificial intelligence (AI) computing. The strategy aims to support advanced NVIDIA GPUs, increase computing capacity and generate more revenues from existing power infrastructure. By deploying additional GPUs at facilities with available power, IREN could improve asset utilization without requiring new grid connections.

The company is advancing liquid-cooled deployments across several locations. At Childress, TX, IREN delivered Horizon 1, a 50-megawatt (MW) IT deployment for Microsoft, in August 2026. Three additional 50-MW deployments are targeted for fourth-quarter 2026 delivery. IREN also plans liquid-cooled GPU installations at Mackenzie, Canal Flats and Prince George, British Columbia, with further expansion planned for 2027.

Liquid cooling could support higher revenue per MW by accommodating increasingly powerful GPUs and meeting customer requirements for AI workloads. IREN reported that three-year contracts secured in August generated more than $20 million in revenue per MW of IT load over their terms, while active pricing discussions indicated approximately $25 million per MW.

IREN’s AI Cloud Services revenues surged to $128.8 million in fiscal 2026 from $16.4 million in fiscal 2025, highlighting its expanding AI business. However, the company’s expansion requires substantial investment, with fiscal 2027 capital expenditure projected at $25-$30 billion.

Construction delays, financing needs, GPU obsolescence and customer demand could constrain returns. Ultimately, IREN’s ability to deploy liquid-cooled capacity efficiently and convert it into revenue will determine whether the strategy improves financial returns.

How Are IREN’s Competitors Expanding?

Applied Digital APLD is expanding liquid-cooled AI data center infrastructure across its Polaris Forge campuses to support high-density GPU workloads. Its ChronoScale platform also plans a 50-MW NVIDIA GB300 deployment with Microsoft. In the first quarter of fiscal 2027, revenues surged 322% year over year to $341.9 million, reflecting growing demand for AI infrastructure.

TeraWulf WULF is developing liquid-cooled AI infrastructure at its Lake Mariner campus, leveraging advanced cooling systems to support high-performance computing. In the second quarter of 2026, revenues reached $44.8 million, including $31.9 million from HPC leasing, highlighting its expanding AI infrastructure business.

IREN’s Price Performance, Valuation and Estimates