Nvidia-Backed Lambda Secures $35 Billion Cloud Capacity Deal with Hut 8
A $35 billion deal between Lambda and Hut 8's Texas AI data center has significant implications for Nvidia, Anthropic, and the broader tech industry. The agreement allows Lambda to secure cloud-computing capacity without directly contracting with Hut 8.
Nvidia will hold the lease on the site in Nueces County, Texas, which covers about 350 megawatts of capacity. The deal is part of a larger partnership between Nvidia and Lambda, which also received $480 million in funding from Nvidia in February 2025.
Hut 8's Beacon Point campus will be home to the data center, which has one gigawatt of utility capacity. The company has already signed leases with an unidentified tenant for 352 megawatts of information-technology capacity at the site, doubling their commitment and fully leasing the campus.
The deal highlights the growing demand for AI computing power and the role that Nvidia and Hut 8 are playing in meeting that demand. Anthropic's reported $35 billion commitment is for computing services from Lambda, while Hut 8's $19.6 billion figure represents rent payable under two 15-year leases by its still-undisclosed tenant, which has been identified as Nvidia.