How much did Nvidia invest in Nebius and when?

Nvidia announced a $2 billion investment in Nebius in March to help the company deploy more than 5 gigawatts of AI data center capacity by the end of the decade. The SEC filing later revealed Nvidia holds a 9.3% equity stake, valued at just over $5 billion as of the filing date.

What services does Nebius provide?

Nebius operates an end-to-end AI cloud infrastructure platform offering dedicated AI data centers for rent and software solutions, including its Token Factory, which enables customers to scale their models, build AI agents, and develop applications. The platform is also being used for physical AI solutions development.

What is the market opportunity for Nebius?

The neocloud infrastructure market Nebius operates in is projected to generate over $53 billion in revenue in 2030. Additionally, physical AI solutions—a niche Nebius is developing for—is expected to grow by more than 100× in revenue between 2026 and 2040, generating $383 billion in revenue at the end of the forecast period.

AI Stocks & MarketsAI Business & IndustryYahoo Finance AIJul 27, 2026Jul 28, 2026, 01:01 JST

Nvidia's $5B stake in Nebius sparks 19% stock jump

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3 Key Points

What happened
Nebius Group shares jumped nearly 19% on July 21 after an SEC filing revealed Nvidia holds a 9.3% equity stake in the neocloud infrastructure provider, valued at just over $5 billion. Nvidia had announced a $2 billion investment in Nebius in March to support deployment of more than 5 gigawatts of AI data center capacity by the end of the decade.
Why it matters
Nebius operates an end-to-end AI cloud infrastructure platform offering both data center capacity and software solutions (including Token Factory for inference scaling and model fine-tuning). The neocloud infrastructure market Nebius serves is projected to generate over $53 billion in revenue in 2030, while Nebius itself has generated $878 million in trailing twelve-month revenue — indicating substantial growth potential. Analysts anticipate significant top-line acceleration driven by the company's backlog.
What to watch
Analysts project Nebius revenue could increase 7× in just two years. If the stock were to trade at the Nasdaq Composite's sales multiple of 5.1 by the end of 2028 (based on a projected $21.6 billion in 2028 revenue), its market cap could reach $110 billion — more than double the current $48 billion market cap.

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Context & Analysis

Nebius Group's share surge reflects investor confidence in both the company's growth trajectory and Nvidia's validation of its strategy. Nvidia's March announcement of a $2 billion investment signaled strong backing from the world's dominant AI chip maker, and the subsequent SEC filing revealing a 9.3% stake underscores the depth of that commitment. Since Nvidia's initial backing was announced on March 11, the stock has climbed over 67%, suggesting the market has been pricing in the infrastructure boom that Nebius is positioned to capture.

The company's appeal lies in its dual-revenue model: it earns from renting out compute capacity through its data centers, but also from high-margin software and platform services like Token Factory, which addresses the growing inference segment of the AI workload market. With the neocloud infrastructure market alone projected to reach over $53 billion by 2030 and Nebius having generated only $878 million in trailing twelve-month revenue, the addressable expansion is substantial. Analysts' expectations of a 7× revenue increase within two years suggest the backlog of customer commitments is translating into genuine near-term acceleration.

FAQ

How much did Nvidia invest in Nebius and when?: Nvidia announced a $2 billion investment in Nebius in March to help the company deploy more than 5 gigawatts of AI data center capacity by the end of the decade. The SEC filing later revealed Nvidia holds a 9.3% equity stake, valued at just over $5 billion as of the filing date.
What services does Nebius provide?: Nebius operates an end-to-end AI cloud infrastructure platform offering dedicated AI data centers for rent and software solutions, including its Token Factory, which enables customers to scale their models, build AI agents, and develop applications. The platform is also being used for physical AI solutions development.
What is the market opportunity for Nebius?: The neocloud infrastructure market Nebius operates in is projected to generate over $53 billion in revenue in 2030. Additionally, physical AI solutions—a niche Nebius is developing for—is expected to grow by more than 100× in revenue between 2026 and 2040, generating $383 billion in revenue at the end of the forecast period.

Yahoo Finance AIRead Original Article

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