Nvidia (NVDA) Bets $2 Billion on Nebius as AI Data Center Race Heats Up

FomoAnxiety · 2026-03-12T12:30:09+00:00

Nvidia is investing $2 billion in Nebius Group to enhance AI cloud systems and build large data sites for AI tasks. This partnership will leverage Nvidia’s technology while boosting Nebius's AI infrastructure.

FomoAnxiety

2026-03-12 12:30:09

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Nvidia Corporation NVDA +0.68% ▲ said it will invest $2 billion in Nebius Group NBIS +16.14% ▲ as part of a deal to expand AI cloud systems. The move shows Nvidia’s push to help build more large data sites that run AI tasks. Nvidia stated that the deal reflects its trust in Nebius and its tech team. The firm also said the work will help build large AI compute hubs. “The investment reflects our confidence in Nebius’s engineering capabilities and will support the development of large-scale AI computing infrastructure,” Nvidia said.

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As part of the deal, the two firms will work to design and run large AI data sites. In turn, Nebius will gain early use of Nvidia’s newest compute tech. The firms will also work on the tools and code used to run large AI clusters.

Meanwhile, NVDA shares rose 0.68% on Wednesday, closing at $186.03.

Nebius Expands AI Data Center Plans

At the same time, Nebius said the deal will help boost the size of its AI cloud. The firm aims to add more computing power for firms that train and run AI models.

Earlier this month, Nebius won the right to build a 1.2-gigawatt data center in Independence, Missouri. The plan may create about 1,200 build jobs and about 130 long-term roles. The site will also bring more than $650 million in tax-type payments to the area over 20 years.

Nvidia Deepens AI Infrastructure Push

Meanwhile, the Nebius deal fits a wider push by Nvidia to help fund key parts of the AI supply chain. Last week, the firm said it would invest $2 billion each in Lumentum Holdings Inc. (LITE) and Coherent Corp. COHR -3.54% ▼ . Those deals aim to speed work on new optical tech used in AI data sites. As a result, Nvidia is not only selling chips but also backing the firms that build and run AI systems.

Is NVIDIA Stock a Buy, Sell, or Hold?

On the Street, Nvidia holds a Strong Buy consensus rating. The average NVDA stock price target is $273.61, implying a 47.08% upside from the current price.

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