NVIDIA Commits $2 Billion to Nebius in AI Data Center Partnership Targeting 5 Gigawatts by 2030

NVIDIA Corporation (NASDAQ: NVDA) announced Wednesday morning that it will invest $2 billion in Nebius Group N.V. (NASDAQ: NBIS), an Amsterdam-based AI cloud infrastructure provider, as part of a sweeping strategic partnership designed to build the next generation of hyperscale AI data centers. The transaction was structured as a private placement of pre-funded warrants for approximately 21.1 million Class A ordinary shares, exempt from U.S. securities registration requirements. NVIDIA has agreed to a six-month lockup on both the warrant and any shares acquired through exercise.

Shares of Nebius jumped more than 10% in premarket trading Wednesday, reflecting investor enthusiasm for the endorsement from the world's most valuable semiconductor company. The deal builds on a $700 million investment NVIDIA made in Nebius in December 2024, and signals a deepening of the relationship at a moment when the AI infrastructure buildout is accelerating globally.

Under the partnership, the two companies will collaborate across the entire AI technology stack, including AI factory design, inference infrastructure, fleet management, and early access to NVIDIA's next-generation silicon. Nebius will adopt the NVIDIA Rubin computing platform, NVIDIA Vera CPUs, and NVIDIA BlueField storage systems across its global platform. The stated goal is to deploy more than 5 gigawatts of NVIDIA systems — enough energy to power roughly 4 million U.S. households — by the end of 2030.

Jensen Huang, NVIDIA's founder and chief executive, framed the partnership in terms of the emerging agentic AI era. Nebius, he said, is building an AI cloud designed for that paradigm, fully integrated from silicon to software. Nebius CEO Arkady Volozh emphasized that the partnership would allow the company to scale rapidly to address surging global demand for AI compute. The company disclosed capital expenditures of $2.1 billion in the December quarter, up sharply from $416 million in the comparable prior-year period, illustrating the pace of its infrastructure buildout.

The deal has attracted scrutiny from analysts who view NVIDIA's growing investment portfolio — which includes OpenAI, CoreWeave, and Anthropic, among others — as a form of circular financing in which the chipmaker funds companies that subsequently purchase its products. NVIDIA has not directly addressed these concerns, but the consistency of its investment strategy suggests a deliberate effort to anchor its next-generation hardware roadmap within a network of committed hyperscale customers.

Wall Street's consensus price target for Nebius sits at $130, implying significant upside from current levels. The company's current market capitalization is approximately $24.3 billion. For NVIDIA, the deal reinforces a portfolio strategy that has become an increasingly important component of its forward demand visibility, even as the stock itself trades below record highs set earlier in the AI cycle.