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Why NVDA, META, & MSFT are Betting Billions on NBIS
Key Takeaways
Unlike legacy clouds, the Nebius "neocloud" is 100% focused on AI training.
Nebius has secured $44 billion in AI deals over the past few months.
The company is well-positioned to lead the coming agentic AI revolution.
Formerly part of Yandex, “The Google of Russia”, Nebius Group ((NBIS - Free Report) ) underwent a massive restructuring amid the breakout of war between Russia and Ukraine. In July 2024, Yandex sold all of its Russian assets, retained its non-Russian businesses, and pivoted the company to focus on infrastructure for artificial intelligence.
Nebius Neocloud & AI Factory is the Talk of the Industry
Although the company is relatively new, Nebius has become one of the hottest and most-talked-about AI companies in the world because of its “neocloud.” The term neocloud refers to a cloud that is built from the ground up specifically for AI. In other words, unlike Alphabet’s ((GOOGL - Free Report) ) “Google Cloud” and Amazon’s ((AMZN - Free Report) ) “Web Services” (AWS), the Nebius neocloud is not a generalist cloud but instead is precisely focused on AI ecosystems. Traditional clouds have virtual layers between the user and hardware, slowing the massive calculations needed to train large language models (LLMs) like OpenAI’s “ChatGPT.” On the other hand, Nebius’s “InfiniBand” network is the gold standard for AI because it enables thousands of chips to act as a single supercluster brain. Meanwhile, Nebius sells entire “AI factories”, which include the data center, cooling systems, and software needed to run massive AI training clusters.
NBIS: Deals, Deals, Deals
The first evidence that Nebius would become an AI infrastructure juggernaut came in September 2025 when the company inked a $17.4 billion deal to become a key infrastructure partner for Microsoft’s ((MSFT - Free Report) ) AI cloud. However, it didn’t end there. Monday, Nebius scored a massive, landmark, $27 billion, 5-year deal to provide Meta Platforms ((META - Free Report) ) with compute capacity. For context, Nebius’ market cap is $28 billion, and these two deals alone are worth at least $44.4 billion!
Image Source: Zacks Investment Research
Nebius: A Leader in Agentic AI
One year ago, NVIDIA ((NVDA - Free Report) ) CEO Jensen Huang predicted that agentic AI would become the next wave of the AI revolution. The emergence and wild popularity of “OpenClaw” and other agentic AI products prove that Huang’s prediction was spot on. Once again, NBIS was early to a hot trend. In early 2026, Nebius acquired agentic AI search company Tavily for ~$400 million. Additionally, last week, Nebius scored a $2 billion investment from NVDA. As part of the agreement, the two powerhouses will collaborate to create a “best-in-class” agentic AI stack. Also, Nebius will be granted early access to NVIDIA’s highly coveted (and often sold out) GPUs.
Nebius Blistering Revenue Growth
Zacks Consensus Estimates predict that NBIS will grow revenue by a staggering 505% in 2026 and 190% in 2027. Meanwhile, by 2029, Nebius revenues are expected to grow by a mind-boggling 60x – and that was before the NVIDIA and META deals were announced!
Image Source: Zacks Investment Research
NBIS Technical View
NBIS shares are up more than 15% today as volume turnover is swelling to more than 2x the 50-day norm. While the stock is up a lot in the short term, the price and volume action suggest that today’s gap-up is buyable. Should the stock break out of the 5-month congestion it’s been in, a $200 price target is reasonable.
Image Source: TradingView
Bottom Line
Nebius group has successfully shed its past to emerge as a cornerstone of the next generation of AI compute. With a slew of multi-billion deals and revenue projections reaching triple-digit growth, the company has solidified itself as the leading AI infrastructure company.
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Why NVDA, META, & MSFT are Betting Billions on NBIS
Key Takeaways
Formerly part of Yandex, “The Google of Russia”, Nebius Group ((NBIS - Free Report) ) underwent a massive restructuring amid the breakout of war between Russia and Ukraine. In July 2024, Yandex sold all of its Russian assets, retained its non-Russian businesses, and pivoted the company to focus on infrastructure for artificial intelligence.
Nebius Neocloud & AI Factory is the Talk of the Industry
Although the company is relatively new, Nebius has become one of the hottest and most-talked-about AI companies in the world because of its “neocloud.” The term neocloud refers to a cloud that is built from the ground up specifically for AI. In other words, unlike Alphabet’s ((GOOGL - Free Report) ) “Google Cloud” and Amazon’s ((AMZN - Free Report) ) “Web Services” (AWS), the Nebius neocloud is not a generalist cloud but instead is precisely focused on AI ecosystems. Traditional clouds have virtual layers between the user and hardware, slowing the massive calculations needed to train large language models (LLMs) like OpenAI’s “ChatGPT.” On the other hand, Nebius’s “InfiniBand” network is the gold standard for AI because it enables thousands of chips to act as a single supercluster brain. Meanwhile, Nebius sells entire “AI factories”, which include the data center, cooling systems, and software needed to run massive AI training clusters.
NBIS: Deals, Deals, Deals
The first evidence that Nebius would become an AI infrastructure juggernaut came in September 2025 when the company inked a $17.4 billion deal to become a key infrastructure partner for Microsoft’s ((MSFT - Free Report) ) AI cloud. However, it didn’t end there. Monday, Nebius scored a massive, landmark, $27 billion, 5-year deal to provide Meta Platforms ((META - Free Report) ) with compute capacity. For context, Nebius’ market cap is $28 billion, and these two deals alone are worth at least $44.4 billion!
Image Source: Zacks Investment Research
Nebius: A Leader in Agentic AI
One year ago, NVIDIA ((NVDA - Free Report) ) CEO Jensen Huang predicted that agentic AI would become the next wave of the AI revolution. The emergence and wild popularity of “OpenClaw” and other agentic AI products prove that Huang’s prediction was spot on. Once again, NBIS was early to a hot trend. In early 2026, Nebius acquired agentic AI search company Tavily for ~$400 million. Additionally, last week, Nebius scored a $2 billion investment from NVDA. As part of the agreement, the two powerhouses will collaborate to create a “best-in-class” agentic AI stack. Also, Nebius will be granted early access to NVIDIA’s highly coveted (and often sold out) GPUs.
Nebius Blistering Revenue Growth
Zacks Consensus Estimates predict that NBIS will grow revenue by a staggering 505% in 2026 and 190% in 2027. Meanwhile, by 2029, Nebius revenues are expected to grow by a mind-boggling 60x – and that was before the NVIDIA and META deals were announced!
Image Source: Zacks Investment Research
NBIS Technical View
NBIS shares are up more than 15% today as volume turnover is swelling to more than 2x the 50-day norm. While the stock is up a lot in the short term, the price and volume action suggest that today’s gap-up is buyable. Should the stock break out of the 5-month congestion it’s been in, a $200 price target is reasonable.
Image Source: TradingView
Bottom Line
Nebius group has successfully shed its past to emerge as a cornerstone of the next generation of AI compute. With a slew of multi-billion deals and revenue projections reaching triple-digit growth, the company has solidified itself as the leading AI infrastructure company.