Nvidia-Backed Nebius Sees Stock Soar Amid Rapid Revenue Growth
Nvidia's investment in Nebius has paid off with the AI cloud company's stock surging 147.6% year-to-date.
Nebius, which rents Nvidia-powered computing capacity and provides software platforms for businesses to train, deploy, and run large AI models, has seen its group revenue skyrocket 684% year-over-year to $399 million in the first quarter.
The company's core AI cloud business rose 841% to $390 million during the same period, with an annualized revenue run rate of $1.9 billion, up 50% from just one quarter ago.
Nebius CEO Arkady Volozh stated that the company wants to own every important layer of AI infrastructure and not just lease Nvidia hardware, which is why they're aggressively expanding their infrastructure footprint instead of prioritizing short-term profits.