"Nebius Group said on Monday it will provide Microsoft with GPU infrastructure capacity, in a deal worth $17.4 billion, over a five-year term, sending its shares soaring over 47% after the bell. The deal underscores the surging demand for high-performance AI computers, as companies invest heavily to bolster their AI infrastructure. Microsoft may also acquire additional services capacity under the deal, bringing the total contract value to about $19.4 billion."
"Nebius' core business involves providing Nvidia graphic processing units and AI cloud as services. Nebius offers AI developers the computing, storage, managed services and tools they need to build, tune and run their AI models, with the help of its cloud software architecture and in-house designed hardware. Nebius will provide Microsoft access to dedicated GPU infrastructure capacity from its new data center in Vineland, New Jersey, starting later this year."
The five-year contract commits Nebius to supply Microsoft with $17.4 billion of GPU infrastructure capacity, with optional services that could raise the contract to about $19.4 billion. The capacity will be delivered from Nebius' new Vineland, New Jersey data center beginning later this year. Nebius specializes in providing Nvidia GPUs and AI cloud services, offering computing, storage, managed services and developer tools, supported by proprietary cloud software architecture and in-house designed hardware. Nebius shares rose over 47% after the bell following the announcement. Microsoft is the largest customer of competitor CoreWeave, which denied reports of contract cancellations. Amsterdam-based Nebius emerged from a split of Yandex assets.
Read at Fast Company
Unable to calculate read time
Collection
[
|
...
]