Nvidia-Backed Nebius Group Faces Major Stock Drop on Thursday

Nebius Group Faces Community Backlash Over Data Center Expansion Proposal

Nebius Group (NASDAQ: NBIS) is experiencing a significant decline in its stock value, falling by 10.1% after a contentious public hearing regarding its planned data center expansion in Vineland, New Jersey. The proposed facility, a 300-megawatt AI data center, is intended to be one of the largest in the U.S., equivalent in size to 45 football fields. The company is seeking to expand the initial construction set for completion soon, but local residents have raised serious concerns regarding the impact on water use, air quality, and noise levels during a packed meeting originally scheduled for City Hall but moved to accommodate the crowd.

Although a final decision from the city planning board has yet to be reached, the backlash from the community may have financial implications for Nebius Group. Residents expressed frustrations over perceived transparency issues, indicating a rising opposition against new data centers, primarily concerning resource consumption. As investor anxiety grows, local sentiments could affect the timing and viability of the facility’s expansion plans.