Nebius Group (NBIS, Financial) just pulled off a major win, locking in a $700 million private funding round from heavyweights like Accel, NVIDIA (NVDA, Financial), and Orbis Investments. Its share price jumps by 15% in the pre-market trading this morning. The cash infusion is all about one thing: accelerating Nebius' global rollout of its full-stack AI infrastructure. Think massive GPU clusters, cloud platforms, and next-level tools for developers—all designed to handle the skyrocketing demand for AI solutions. CEO Arkady Volozh called it a game-changer, saying this funding will let the company scale faster and bigger than ever. With an annualized revenue run-rate forecasted to hit $750 million to $1 billion by the end of 2025, Nebius is signaling it's ready to dominate.
The company is also making some bold moves on the financial front. Nebius has scrapped its planned stock buyback program, opting to pour every dollar into expanding its AI infrastructure. The decision, backed by strong post-Nasdaq trading performance, reflects the board's belief that building cutting-edge tech is the best way to drive shareholder value. Chairman John Boynton mentioned that investors would not want caution, they want growth. He underscores the company's strategy to reinvest in its bread and butter: AI-native cloud services built for heavy-duty machine learning workloads.
Nebius isn't just expanding; it's redefining what's possible in AI. Its GPU cloud and AI Studio tools already offer some of the lowest costs per token in the market, attracting developers globally. With 400 engineers leading the charge and partnerships with industry giants like NVIDIA, Nebius is doubling down on innovation at scale. For investors hungry for exposure to the booming AI sector, Nebius is emerging as a name to watch—fast growth, ambitious vision, and a clear plan to deliver on it.
