IREN and Hut 8 were rising sharply on Monday as both companies announced more customers were spending on their cloud-computing infrastructure. It's a boost for the whole 'neocloud' sector.

IREN shares rose over 17% after it said it had agreed new multiyear cloud contracts with artificial-intelligence developers representing $2.8 billion in total contract value. The company raised its target for annualized run-rate revenue from AI cloud services at the end of the year to more than $4 billion from $3.7 billion previously.

IREN was previously an Australian Bitcoin miner called Iris Energy before pivoting to AI computing as part of a wave of "neoclouds" building out cloud computing infrastructure. IREN builds and operates its own renewable-powered data centers.

Separately, Hut 8's U.S.-listed stock rose 14% after saying it had agreed a 15-year $9.8 billion lease at its Beacon Point data center campus in Texas. The company said the existing tenant -- an unnamed high-investment-grade company -- has doubled its contracted computing capacity to 704 megawatts.

The Canadian company, which started as a Bitcoin miner, has now seen its stock price more than quadruple in the past 12 months.

The flow of spending on AI computing infrastructure was boosting other neoclouds such as the sector's largest player CoreWeave, which rose 7% and Nebius which was gaining 7%.