IREN raises AI revenue target above US$4B

• IREN raised its long-term AI cloud revenue target to more than US$4 billion a year.
• IREN shares rose 16% after the company announced the updated target.
• The company said growing customer demand drove the higher forecast.

IREN raised its long-term annual revenue target for its artificial intelligence cloud business to more than US$4 billion, sending its shares up 16%.

The company said the revised target reflects stronger customer demand for AI computing services and planned expansion of its cloud infrastructure.

"We believe customer demand continues to support expanding our AI cloud platform," the company said.

IREN said it is using its existing data centres and high-performance computing infrastructure to support AI workloads alongside its Bitcoin (CRYPTO:BTC) mining operations.

The company stated that AI cloud services are expected to become a larger part of its business as demand for computing capacity increases.

Several Bitcoin mining companies have expanded into AI infrastructure by repurposing their computing facilities for cloud services.

IREN said the higher revenue target reflects its current business strategy and planned investment in AI infrastructure.

At the time of reporting, Bitcoin price was $65,518.27.