March 11 (Reuters) – Nvidia said on Wednesday it will invest $2 billion in artificial intelligence cloud company Nebius, adding to the leading chipmaker’s growing list of investments in AI companies and data center infrastructure.
A filing with the U.S. Securities and Exchange Commission (SEC) showed that Nvidia has agreed to buy shares representing about an 8.3% stake in Nebius for $94.94 per share. Shares in Nebius, based in Amsterdam but listed on Nasdaq, were up 13.8% at $109.72 by 1623 GMT.
The world’s most valuable company is investing heavily in its AI ecosystem and expanding data center infrastructure, including significant investments in companies that are often its customers, raising concerns about circular transactions.
Nebius, an Nvidia customer, will deploy more than 5 gigawatts of data center capacity by the end of 2030, the companies said. This represents the electricity equivalent to the needs of more than 4 million US households.
Last year, Nvidia agreed to deploy at least 10 gigawatts of its systems for OpenAI and later announced an initial investment of $30 billion.
Nebius, along with Coreweave, is among the “newcloud” companies gaining notoriety through high-profile deals to provide AI infrastructure to US hyperscalers, including a $17 billion deal with Microsoft, and a $3 billion deal with Meta Platforms. Unlike large cloud companies that serve a wide range of industries, nuclouds mostly focus on technical customers and offer the right capacity for AI technology.
“Nibius is building an AI cloud designed for the agentic era,” Nvidia CEO Jensen Huang said in a statement, adding that the partnership will scale the cloud firm to meet the growing global demand for intelligence.
The cloud company reported a sharp increase in capital spending, rising to $2.1 billion in the December quarter from $416 million a year earlier, as it doubles down on capacity expansion.
(Reporting by Arshiya Bajwa in Bangalore; Additional reporting by Toby Sterling in Amsterdam. Editing by Vijay Kishore, Kirsten Donovan)
