Miner Reddy

$12 / Watt for Rubins is abysmal, even if it’s for gross capacity, not IT. $CRWV investors better hope BofA is off by a wide margin lol Then again, $CRWV is a sinking ship either way, good luck to anyone holding this turd.

Lol… it’s not like $IREN (one of the lead sponsors of $NVDA GTC) also owns $AMD chips. TMZ of the data center industry strikes again 💥 You are doing everything you can to burry your reputation further lol

$IREN: The Misconception Around Yields and a Harsher Financing Environment It’s no secret that $IREN's vertical approach of developing and owning 100% of its data center footprint is more capital intensive than what most other neoclouds are doing by colocating / renting data centers from third parties. The wrong conclusion to draw from this is that $IREN would therefore be disproportionately affected by a tougher financing environment because of its particular strategy. In a supply-constrained market, cost increases tend to get passed downstream, often with a markup if suppliers have enough pricing power to maintain their margins. Think of company X having 75% margins, $100 in revenue and $25 in costs. Now those costs increase by $5, to a total of $30. To maintain the same 75% margin, the company would have to increase revenue to $120. In other words, a $5 cost increase just resulted in a $20 price hike downstream. Obviously, market forces ultimately decide whether a company can get away with passing through that kind of increase or whether margins have to take a hit. The more leverage the supplier has, the easier those increases become. Today, the data center market is still extremely tight, so one should expect higher financing costs for new developments to eventually work their way into the rates colocation tenants, including neoclouds, have to pay. Now consider that a tougher financing environment also means lenders become more selective about who they are willing to finance in the first place. Fewer developers securing capital means fewer projects getting built, which would further exacerbate an already severe compute and data center shortage. Whoever still manages to bring capacity online in that environment should therefore have significant pricing power, potentially allowing them to absorb higher financing costs while keeping margins steady or even expanding them. If you haven’t already derived the conclusion I’m trying to get across, neoclouds that rely heavily on colocation could actually end up materially worse off in a tougher financing environment. Keep in mind that these agreements are also commonly structured around very long commitments, often 10-20 years, meaning an increase in the cost of securing capacity can stay with the tenant for a very long time. $IREN obviously isn’t immune to higher rates or harsher financing conditions. But a company with an established track record of repeatedly delivering large infrastructure projects should have a materially easier time accessing capital than smaller data center developers with less scale and a weaker execution history. One of the biggest risks for a lender financing a new development is completion risk. If the project runs badly over budget, gets delayed or never gets delivered at all, the economics behind the loan can fall apart and the lender may eventually be left holding the bag. That is why, at this point, one of the biggest priorities for $IREN and its shareholders should simply be continuing to deliver these data center projects and building an increasingly strong track record behind them. It’s also worth pointing out that $IREN is taking a pretty clever approach to data center financing that substantially changes the risk profile for lenders. So far, the company has not relied on traditional construction financing secured against a new data center before the facility is built. Instead, IREN has been funding construction at the corporate level and then looking to raise data center financing once the facility is operational, contracted and generating cash. That is a completely different proposition for a lender. Instead of underwriting a development that exists largely on paper and hoping it eventually gets delivered, the lender can finance an operating asset with physical infrastructure already in the ground and contracted cash flows already coming through the door. The capital released from that financing can then be recycled into portions of the next build, which can subsequently be financed once operational, creating the financing flywheel I’ve discussed several times before. This strategy is inherently much more lender-friendly. And once you look at the executive team behind it, the structure starts to look a lot less accidental and a lot more deliberately engineered by people who have spent decades around large-scale infrastructure financing. $IREN has an unusual amount of Macquarie DNA inside its leadership team. Macquarie Asset Management oversees over $500b globally and was ranked the world’s largest infrastructure investment manager by AUM in 2026. Both Co-CEOs have backgrounds at Macquarie, as does CCO Kent Draper, while CFO Anthony Lewis spent 22 years there before joining $IREN. Anthony in particular is worth highlighting. Before joining $IREN, he served as Co-Treasurer of Macquarie Group, one of the most senior positions within the firm’s treasury and finance organization, overseeing global funding, liquidity and capital management. So when $IREN comes up with a financing structure that minimizes construction risk for lenders and allows capital to be recycled from one completed build into the next, that strategy is being put together by a team with decades of experience doing this kind of thing. There probably aren’t many executive teams in the neocloud space with more direct experience navigating large-scale infrastructure financing and capital markets. If anybody has the right people to navigate through a challenging financing environment, it’s $IREN.