HIVE Transforms Toronto Data Center for AI Era, Boosting GPU Cloud Power

HIVE Digital Technologies Ltd. has finalized the acquisition of a 7.2-megawatt data center in Toronto, Canada, through its wholly owned subsidiary, BUZZ High Performance Computing. This marks a pivotal step in HIVE's dual-engine strategy, combining Bitcoin mining with the expansion of high-performance computing (HPC) and artificial intelligence (AI) infrastructure. The Toronto facility, previously a Bitcoin mining site, will be upgraded from Tier 1 to Tier 3 standards, enhancing its capabilities for AI and cloud workloads while reinforcing BUZZ's presence in Canada.

The acquisition includes a cash payment of CAD$12 million and the issuance of one million common shares of HIVE at a deemed price of CAD$5.25 per share, totaling CAD$17.25 million in acquisition costs. The shares are subject to a four-month and one-day hold period, and the transaction received expedited approval from the TSX Venture Exchange. The upgrade of the Toronto data center aligns with HIVE’s broader vision of transforming former mining facilities into advanced HPC and AI-ready infrastructure.

The strategic move positions BUZZ to meet the surging demand for AI infrastructure in Canada, particularly as the country experiences a growing need for sovereign data centers. Craig Tavares, President and COO of BUZZ HPC, emphasized the significance of Toronto as a hub for higher education, AI research, and fiber connectivity, calling it a critical location for developing a Canadian-owned and operated AI data center. Once the Tier 3 upgrade is complete, the facility is expected to operate a GPU cloud of up to 5,000 next-generation GPUs, supporting both AI training and inference workloads.

This acquisition also complements BUZZ's existing partnership with Bell Canada, announced in August 2025, strengthening HIVE’s position in the Canadian digital infrastructure landscape. Frank Holmes, Executive Chairman of HIVE, stated that the investment in BUZZ reflects the company’s commitment to leading the transformation of digital infrastructure in Canada. The integration of green energy sources is also part of the company’s broader sustainability goals, supporting HIVE’s focus on environmentally responsible operations.

HIVE’s Bitcoin mining operations have also seen significant growth, achieving a hashrate of 18 exahashes per second on September 2, 2025, with a fully funded plan to reach 25 exahashes per second by the end of 2025. This dual approach allows HIVE to diversify its revenue streams while capitalizing on the expanding HPC and AI markets. The Toronto data center acquisition, along with HIVE’s ongoing expansion in Canada, underscores the company’s commitment to becoming a leader in the digital infrastructure sector.

The Toronto data center is part of a broader trend of increased data center investment in North America. According to CBRE, primary market supply in North America totaled 8,155 megawatts in H1 2025, with demand continuing to outpace supply. Vacancy rates fell to a record low of 1.6%, driven by strong demand from hyperscale and AI occupiers. Rental rates for larger deployments, particularly those exceeding 10 megawatts, increased by up to 19% due to limited contiguous power availability and rising construction costs. Northern Virginia remains a key market, with 538.6 megawatts of net absorption in H1 2025, further highlighting the competitive landscape for high-density infrastructure.

HIVE’s acquisition aligns with the growing global investment in data centers, particularly in North America and Europe, where combined investments reached $22 billion in the first five months of 2024. Europe’s share of data center investment rose to 20% in 2023 and 29% in early 2024, reflecting the region’s increasing importance in the sector. As demand for AI and HPC continues to expand, companies like HIVE are positioning themselves to lead the next phase of digital infrastructure development, supported by favorable market conditions and strategic investments in key markets.