Key Points
Nvidia (NASDAQ: NVDA) has made a $2 billion investment in AI cloud infrastructure company Nebius (NASDAQ: NBIS), representing approximately 7% of its $28.3 billion market cap. This announcement came on March 11 and highlights Nvidia’s strategy to support the rapidly growing artificial intelligence sector.
Nebius, formerly known as Yandex, has transitioned from a Russian tech firm to a provider of AI-optimized cloud services after relocating to the Netherlands due to sanctions. The company aims to increase its data center capacity from 1 GW to 5 GW by 2030. It has reported a revenue increase of 462% in 2024 and 351% to $530 million in 2025, with projections suggesting an 18-fold revenue surge to $9.4 billion by 2027.
The investment also includes collaborations on AI infrastructure and early access to Nvidia’s latest computing platform, positioning Nebius for significant potential growth despite its current enterprise value of $40.8 billion, which is viewed as reasonable given its projected performance.
