Dell Secures $1.6B AI Server Order as FY27 AI Revenue Set to Double
DELL•IREN committed $1.6B to purchase Dell air-cooled Blackwell AI servers for its Texas data centers, boosting IREN’s revenue to $4.4B once operational in 2027. Dell holds a $43B AI backlog and guides FY2027 AI revenue to double to ~$50B with EPS rising 25% to $12.90.
1. $1.6B AI Server Deal With IREN
IREN agreed to invest $1.6B in Dell air-cooled Blackwell AI systems for its Childress, Texas data centers slated to begin operations in 2027. The procurement will support IREN’s ramp-up of AI compute capacity and contributes immediate order book growth for Dell’s infrastructure segment.
2. AI Backlog and Future Earnings Growth
Dell carries a backlog of $43B in AI-related orders and projects FY2027 AI revenue will roughly double to $50B, underpinning a 25% EPS increase to $12.90. The company’s negative cash conversion cycle and rapid repricing of AI hardware cement its status as a leading AI infrastructure supplier.
3. Stock Price Performance
Dell’s stock has surged 139% so far in 2026, reflecting investor confidence in its AI growth trajectory and large customer commitments. The shares trade around $305, highlighting strong market sentiment on Dell’s expansion in next-generation AI data center solutions.
