European companies raised $700 million from Nvidia, etc. - a huge inflow of funds into AI support technology.

December 3, 2024 14:29 JST
Nebius is considering leveraging fundraising for the expansion of AI-focused cloud services.
Netherlands-based technology company Nebius Group, with funding of billions from major corporations and financial institutions supporting AI technology, has raised $700 million (approximately 105 billion yen) from investors including US Nvidia and US Accel Partners.
According to Nebius's announcement on the 2nd, they will issue 33.3 million shares privately at $21 per share. The planned share buyback has been postponed.
The company, after selling off its business in Russia including a search engine earlier this year and changing its name from Yandex, which was listed on the Nasdaq market, halted trading in 2022 following Russia's invasion of Ukraine. Nebius shares resumed trading in October.
The streamlined company is focusing on AI cloud computing services, competing with companies like CoreWeave and major cloud providers. Nebius CEO Arkadi Boroz indicated that the fundraising will lead to the expansion of 'GPU clusters' combining dedicated AI chips in data centers with cloud services.

Massive funding is flowing in from major corporations and financial institutions regarding the technology supporting AI. CoreWeave, also supported by Nvidia, plans a $23 billion stock offering.
Boroz stated that Nebius plans to carry out a 'probably much larger' additional fundraising by 2025.