Key Takeaways
- • HIVE Digital Technologies' subsidiary BUZZ High Performance Computing acquired approximately 25 acres of land in the Greater Toronto Area for $58 million CAD ($46 million for the main 21-acre parcel and $12 million for an additional 4-acre parcel) to develop a 320-megawatt AI gigafactory.
- • The facility is projected to host over 100,000 GPUs at full capacity with a total capital investment of approximately CAD $3.5 billion, targeting operational launch in the second half of 2027.
- • HIVE stock surged 33.1% in premarket trading following the announcement, reflecting investor optimism around the company's infrastructure expansion and diversification into AI compute services.
- • The project is expected to generate over 800 construction jobs and hundreds of permanent high-skill positions, with operations powered by Ontario's clean grid and featuring closed-loop cooling systems.
- • Upon completion, HIVE will operate approximately 130,000 GPUs across Canadian operations, positioning the company's global power portfolio at over 850 MW (including 450 MW of operating data centers and 400 MW of capacity expected in 2027).
Summary
HIVE Digital Technologies announced a major infrastructure investment on May 18, 2026, when its newly formed subsidiary BUZZ High Performance Computing completed the acquisition of approximately 25 acres of land in the Greater Toronto Area for $58 million CAD. The transaction consists of two parcels: a primary 21-acre site for $46 million and an additional 4-acre parcel for $12 million. The combined property is positioned between Toronto and Waterloo, placing the facility within Canada's established technology and AI corridor.
The planned AI gigafactory represents one of Canada's largest artificial intelligence infrastructure projects, requiring a total capital investment of approximately CAD $3.5 billion. The facility will support 320 megawatts of utility capacity and is designed to accommodate more than 100,000 GPUs at full build-out. BUZZ expects the facility to become operational in the second half of 2027. The infrastructure will be powered by Ontario's clean grid and incorporate closed-loop cooling systems, addressing both operational efficiency and environmental considerations. The project is anticipated to create over 800 construction jobs during development and hundreds of permanent high-skill positions upon completion.
Market response to the announcement was immediate and substantial. HIVE's stock price surged 33.1% in premarket trading following the news, reflecting institutional and retail investor confidence in the company's strategic direction. The facility announcement underscores HIVE's broader expansion trajectory: the company currently operates 5,500 GPUs for AI compute and maintains a 70 MW facility in New Brunswick. Globally, HIVE now manages over 850 MW of power capacity, comprising 450 MW of operating data centers and a pipeline of 400 MW expected to come online in 2027. In Canada specifically, the company operates 100 MW of existing data center capacity and has secured a 320 MW pipeline for 2027, substantially increasing its North American footprint.
The acquisition aligns with HIVE's strategy to position BUZZ as a sovereign AI infrastructure provider. The company has already signed $30 million in AI cloud contracts and is expanding its high-performance computing offerings to support both domestic and international clients. Upon full deployment of the Toronto facility, HIVE's Canadian GPU capacity is projected to reach approximately 130,000 units, solidifying the company's position as a significant player in North America's AI infrastructure market.
The planned AI gigafactory represents one of Canada's largest artificial intelligence infrastructure projects, requiring a total capital investment of approximately CAD $3.5 billion. The facility will support 320 megawatts of utility capacity and is designed to accommodate more than 100,000 GPUs at full build-out. BUZZ expects the facility to become operational in the second half of 2027. The infrastructure will be powered by Ontario's clean grid and incorporate closed-loop cooling systems, addressing both operational efficiency and environmental considerations. The project is anticipated to create over 800 construction jobs during development and hundreds of permanent high-skill positions upon completion.
Market response to the announcement was immediate and substantial. HIVE's stock price surged 33.1% in premarket trading following the news, reflecting institutional and retail investor confidence in the company's strategic direction. The facility announcement underscores HIVE's broader expansion trajectory: the company currently operates 5,500 GPUs for AI compute and maintains a 70 MW facility in New Brunswick. Globally, HIVE now manages over 850 MW of power capacity, comprising 450 MW of operating data centers and a pipeline of 400 MW expected to come online in 2027. In Canada specifically, the company operates 100 MW of existing data center capacity and has secured a 320 MW pipeline for 2027, substantially increasing its North American footprint.
The acquisition aligns with HIVE's strategy to position BUZZ as a sovereign AI infrastructure provider. The company has already signed $30 million in AI cloud contracts and is expanding its high-performance computing offerings to support both domestic and international clients. Upon full deployment of the Toronto facility, HIVE's Canadian GPU capacity is projected to reach approximately 130,000 units, solidifying the company's position as a significant player in North America's AI infrastructure market.
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