Hive Digital launches major AI and HPC cluster in Paraguay

Texas-based company activates first AI GPU cluster in Paraguay, leveraging hydroelectric power from Itaipu to expand into high-performance computing.

Mar. 23, 2026 at 7:13pm

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Hive Digital Technologies has launched its first artificial intelligence (AI) GPU cluster in Paraguay, marking a strategic shift to utilize its 300MW hydroelectric infrastructure from Itaipu for high-performance computing (HPC) beyond bitcoin mining. The new facility, set up at a Tier III Tigo data center in Asunción, is part of Hive's BUZZ AI Cloud platform and is designed to serve AI training, inference and academic research.

Why it matters

This move aims to leverage Hive's 300MW hydroelectric capacity in Paraguay and 100MW of planned expansion, as AI computing demands more sustainable and cost-effective energy. Paraguay's stable governance and policy environment have welcomed foreign infrastructure investment, positioning the country to play a growing role in South America's AI and high-performance computing future.

The details

The Asunción deployment is the first GPU cluster to go live under Hive's phased strategy to layer AI and HPC onto its existing renewable energy footprint in Paraguay. The company expects to build future Tier III data center capacity in Yguazú, with infrastructure upgrades required to provide high-availability, low-latency GPU AI cloud compute. Having the Columbia University research team run active large language model (LLM) training jobs from New York on GPU infrastructure in Asunción provides Hive with real-world performance data to guide its roadmap for scaling commercial HPC capacity in Paraguay through 2027.

  • Hive Digital launched its first AI GPU cluster in Paraguay in March 2026.
  • Hive plans to build future Tier III data center capacity in Yguazú, Paraguay.

The players

Hive Digital Technologies

A Texas-based company that has diversified its revenue streams from pure-play bitcoin mining to include AI and GPU-accelerated computing.

Columbia University

An academic institution from New York that is functioning as a 'proof of concept' for long-distance AI computing on Hive's BUZZ AI Cloud platform.

Itaipu

A hydroelectric power plant on the border of Paraguay and Brazil that provides 300MW of renewable energy to power Hive's operations in Paraguay.

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What’s next

As regional South American institutional and commercial demand for HPC and AI cloud develops, the pace and scale of the company's Tier III expansion in Paraguay will be guided by customer adoption and Hive's capital position.

The takeaway

Hive Digital's move to leverage Paraguay's renewable energy and stable policy environment to establish a major AI and HPC cluster demonstrates the country's potential to become a hub for advanced computing in South America, as the demand for sustainable and cost-effective energy-intensive technologies continues to grow.