Nvidia Increases Stake in Nebius
Nvidia (NASDAQ: NVDA) has significantly ramped up its investment in Nebius (NASDAQ: NBIS), acquiring over 21 million shares for a total of approximately $3.8 billion. This move elevates Nvidia’s stake in the neocloud operator to about 12% of its investment portfolio, representing roughly 9.3% ownership of Nebius.
This increased stake reflects Nvidia CEO Jensen Huang’s strong confidence in Nebius, a company noted for its role in the booming AI infrastructure market. Nebius generated $399 million in revenue in its first quarter, marking a 684% year-over-year increase and projecting an annualized run rate of $1.92 billion for its core AI services.
Huang highlighted Nebius as one of the leading “world-class AI clouds” during a keynote speech at the Computex technology trade show in June 2023, further emphasizing its impressive customer base and rapid growth amidst the expanding neocloud market, projected to grow from $25 billion in 2025 to $400 billion by 2031.
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