Allbirds Inc. (Nasdaq: BIRD) experienced a dramatic stock price increase of over 200% after announcing a strategic pivot from its traditional footwear business to AI compute infrastructure. The company confirmed a $39 million asset sale of its footwear brand to American Exchange Group, which will continue operating the brand. This decision is part of a broader strategy to focus on GPU services and AI cloud infrastructure, leading to the planned name change to NewBird AI. Additionally, Allbirds announced a $50 million convertible financing facility to support this transition, pending shareholder approval at a special meeting scheduled for May 18, 2026. Investors reacted positively to the news, with shares indicating an opening price of over $6, compared to a previous close of $2.49. The company also plans to offer a special dividend to shareholders, expected in the third quarter of 2026, contingent on the asset sale approval. This shift comes as demand for AI compute capacity rises, with Allbirds aiming to establish itself as a provider of GPU-as-a-Service.