HIVE (NASDAQ: HIVE) surges 8.92% on Paraguay expansion through telecom joint venture

HIVE Digital Technologies (NASDAQ: HIVE) surged 8.92% in pre-market trading on January 14, 2026, driven by its strategic expansion into Paraguay through a joint venture with the country’s leading telecommunications operator.

The move marks a pivotal step in HIVE’s transition from energy-led digital infrastructure to scalable AI and data center capacity. The partnership involves launching one of Paraguay’s first purpose-built AI BUZZ Cloud platforms, hosted in a Tier III data center in Asunción. This initiative leverages the country’s abundant renewable hydroelectric power and existing Tier I data center infrastructure developed by HIVE, which has previously monetized surplus energy through Bitcoin mining.

Executives emphasized the long-term vision to position Paraguay as a hub for AI and high-performance computing in South America. The phased rollout, starting with an enterprise-grade GPU cluster in Q1 2026, aims to serve academic, enterprise, and healthcare clients. The company highlighted Paraguay’s stable governance, pro-investment policies, and renewable energy advantages as key enablers for sustained infrastructure growth.

Analysts note that HIVE’s strategy mirrors its Texas-based model, where Tier I infrastructure evolved into advanced data centers. The expansion aligns with broader trends in AI-driven computing demand, potentially amplifying HIVE’s role in the region’s digital economy while diversifying revenue streams beyond cryptocurrency mining.

As the company prepares to scale its AI BUZZ Cloud services across South America, investors are watching closely to see whether this strategic pivot will yield long-term gains in both the AI infrastructure and green energy sectors.