San Antonio, Texas — January 13, 2026 — Leads & Copy — HIVE Digital Technologies Ltd. (TSXV: HIVE) (NASDAQ: HIVE) (FSE: YO0) (BVC: HIVECO) is expanding into Paraguay through a strategic joint venture with the country’s leading telecommunications operator.
The partnership will launch one of the first artificial intelligence BUZZ Cloud platforms in Paraguay, located in Asunción and hosted within a Tier III data center operated by the telecom provider. The platform is designed to deliver high-performance computing (HPC) and AI infrastructure intended to serve academic and research institutions, enterprises, financial services firms, and healthcare providers across Paraguay and the broader South American region.
The initial deployment is expected to commence in the first quarter of 2026 and is planned to begin with an enterprise-grade GPU cluster designed to support AI training, inference, and data-intensive workloads. The platform is intended to scale over time in response to customer demand and capital availability, leveraging Paraguay’s renewable hydroelectric power, national fiber network, and enterprise-grade data center operations.
HIVE has developed and operated Tier I data centers and associated electrical substations supported by access to renewable hydroelectric energy at scale in Paraguay. HIVE views Bitcoin mining as a means of building Tier I data center infrastructure and substations that monetize surplus or stranded electricity, converting energy into economic value. In this framework, each Bitcoin represents a bundle of energy, a concept that has also been articulated by technology leaders such as Elon Musk and Jensen Huang in their discussions of Bitcoin as a form of monetized economic work. The infrastructure required to produce it can serve as a foundational base layer for more advanced digital compute applications, including AI and high-performance computing hosted in Tier III data centers.
HIVE’s strategy in Paraguay is anchored in a long-term, multi-year vision to evolve energy-led digital infrastructure into scalable AI and data center capacity. The Company believes the growth of the AI-driven digital economy depends on reliable electricity and high-capacity dark fiber connectivity capable of supporting secure, low-latency data movement. While Tier III data centers capable of hosting GPU-intensive workloads require significantly higher capital investment, HIVE believes its phased approach-beginning with Tier I infrastructure-provides a disciplined and economically efficient pathway toward higher-tier AI-ready facilities.
Paraguay has experienced periods of strong economic expansion in recent quarters, supported by a stable government and a pro-investment policy environment. HIVE believes these conditions, combined with the country’s energy profile, provide a constructive backdrop for long-term digital infrastructure investment.
The progression is broadly consistent with the evolution of digital infrastructure observed in Texas, including the San Antonio to West Texas corridor, where development began with Tier I data centers anchored by energy-intensive workloads and later expanded into capital-intensive Tier III facilities capable of supporting advanced enterprise and AI workloads. The Company believes Paraguay may be at a similar early-stage point in this infrastructure development cycle, while recognizing that outcomes will depend on a range of economic and regulatory factors.
The Company expects that continued investment in AI and HPC infrastructure could support downstream economic activity, including potential increased demand for software developers, computer engineers, data scientists, electrical engineers, and other technical professionals, contributing to workforce development over time.
The expansion also reflects Paraguay’s ongoing institutional engagement with the United States. On December 15, 2025, U.S. Secretary of State Marco Rubio and Paraguayan Foreign Minister Rubén Ramírez Lezcano signed a Status of Forces Agreement (SOFA) between the United States and Paraguay in Washington, D.C.
The launch of the BUZZ AI cloud platform is intended to support demand for accelerated computing across South America by enabling organizations to access AI infrastructure operated within a Tier III environment and powered by renewable energy. While future expansions will depend on infrastructure buildout like dark fiber, customer demand, regulatory conditions, and capital availability, HIVE believes conditions in Paraguay are favorable for long-term participation in AI and hyperscale data center development.
Frank Holmes, Executive Chairman of HIVE, said that Paraguay has been an important operating geography for HIVE, where the company has demonstrated how energy-led digital infrastructure can support long-term value creation. Aydin Kilic, President and CEO of HIVE, added that the launch of AI cloud infrastructure in Asunción represents an initial step toward enabling academia, research institutions, businesses, financial services, and healthcare organizations to access high-performance compute capacity locally.
HIVE believes that Paraguay’s combination of renewable energy resources, stable governance, supportive policy conditions, and growing digital infrastructure positions the country as a potential long-term participant in the South American AI and high-performance computing landscape.
Nathan Fast, Director of Marketing and Branding
Frank Holmes, Executive Chairman
Aydin Kilic, President & CEO
Tel: (604) 664-1078
Source: HIVE Digital Technologies Ltd.
