Microsoft has secured a $9.7 billion cloud services contract with AI provider IREN, gaining access to Nvidia chips. The five-year deal, with a 20% prepayment, supports Microsoft’s AI demand. The company spent $35 billion in Q3 on AI and cloud infrastructure, with half on computer chips. IREN’s expertise in AI cloud operations makes them a strategic partner for Microsoft.

In addition, Microsoft announced a new deal with OpenAI, boosting its valuation to $4 trillion. The agreement gives Microsoft a 27% stake in OpenAI’s for-profit corporation. IREN also signed a $5.8 billion deal with Dell Technologies for chips and equipment, to be deployed in Texas next year. IREN’s shares surged 22%, while Microsoft saw a slight increase.

Read more at Yahoo Finance: Microsoft enters approximately $9.7B contract with IREN that gives it access to Nvidia chips