A contract says I need you: Nvidia and IREN
With $IREN and $NVDA earnings coming up, I keep seeing the Nvidia-IREN deal compared unfavorably to the $NBIS deal. FinX thinks Nvidia gave $NBIS $2 billion and gave $IREN nothing.
Half right. The “nothing” is a $3.4 billion contract.
Both are wins. They’re different instruments doing different jobs. Let’s clarify.
$NBIS got a $2B equity check. Cash in the bank today, $NVDA on the cap table, funding the buildout. That’s conviction.
$IREN got a 5 year, $3.4B cloud contract where Nvidia is the customer, running its own workloads on IREN’s machines. Plus a warrant for 30M shares struck at $70, far above today’s price, that only vests as IREN deploys. Nvidia gets paid on that warrant only if IREN executes and the stock rips.
“No cash changed hands” misses where the cash shows up: as revenue, every quarter, for five years.
A check says I believe in you. A contract says I need you.
This is also just $NVDA playbook. Warrants in $GLW, stakes in $CRWV $MRVL $COHR $NOK. They wire the whole ecosystem to their roadmap.
DYOR.
