Sharon AI Shares Jump 10% on $1.32 Billion Cloud Computing Deal

Shares of SharonAI Holdings Inc. (NASDAQ: SHAZ) surged 10% on Thursday after the Australian cloud provider announced it had secured a $1.32 billion, five-year cloud computing agreement with an unidentified global artificial intelligence lab.

Deal Details

Under the terms of the contract, Sharon AI will deploy its cloud computing solutions across data center infrastructure located in New Zealand. The company stated that revenue from the agreement is expected to commence in the first and second quarters of 2027.

The deal provides a significant, long-term revenue stream for the company, underscoring the intense demand for specialized computing power required for artificial intelligence workloads.

Strategic Expansion and Capacity

The move marks a key expansion for the neocloud provider into New Zealand. "We are excited to be deploying our first AI Factory in New Zealand," said James Manning, Co-founder and CEO of Sharon AI. "The established data center infrastructure and future growth potential in country provide Sharon AI with a strong foundation for future expansion."

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Sharon AI also provided an update on its operational scale, highlighting several key metrics:

• Total "AI Factory" capacity stands at 132 megawatts (MW).
• Of this, 116 MW is already contracted to end customers.
• The company expects to deploy more than 62,000 NVIDIA GPUs by mid-2027.

Manning added that the company continues to see "strong demand from enterprise, government, hyperscale, AI native and research customers" across the Asia-Pacific region and the rest of the world.

Market Impact

Investors reacted positively to the announcement, sending the company's Nasdaq-listed shares up 10% in Thursday's trading. The contract's size and duration appear to have boosted market confidence in Sharon AI's growth trajectory and its ability to capture a share of the booming AI infrastructure market.