Nvidia discloses 9.3% stake in AI cloud company Nebius

Published Jul 21, 11:42 AM UTC

Nvidia disclosed a 9.3% stake in Amsterdam-based AI cloud company Nebius, totaling approximately 22.26 million shares including shares tied to a warrant from Nvidia's $2 billion investment. The disclosure caused Nebius stock to climb 7% in premarket trading. Nebius, spun off from Russian search engine Yandex and listed on Nasdaq with a $46 billion market cap, is a neocloud company focused on AI workloads. The companies are collaborating on AI infrastructure, fleet management, and AI factory design. Nebius aims to exceed 5 gigawatts of computing capacity by 2030. In March, Meta signed a $27 billion long-term agreement with Nebius. Last week, Nebius raised $775 million in its first senior secured debt facility. Freedom Capital Markets upgraded Nebius to buy. Nvidia has made similar investments in Marvell, CoreWeave, and others, and participated in OpenAI's $110 billion round and Anthropic's $30 billion fundraise. Analysts have flagged increasing circularity in AI ecosystem financing.