Nvidia’s Jensen Huang Just Delivered a Huge Vote of Confidence to CoreWeave and Nebius

The artificial intelligence infrastructure race is shifting from a chip shortage issue to a need for more data center capacity. Land, electricity, and completed buildings are now the limiting factors as big tech companies invest billions into AI. At the Goldman Sachs Communacopia + Technology Conference, Nvidia CEO Jensen Huang highlighted the expanding market for AI services and specifically praised CoreWeave and Nebius Group.

Huang stated that Nvidia can achieve around 70% year-over-year revenue growth next year, but the bottleneck is securing enough power, land, and data centers. Neoclouds, such as CoreWeave and Nebius, come in and secure this capacity where major cloud providers cannot. Both neoclouds are performing well, with CoreWeave having a larger and earlier-scale presence and Nebius showing impressive growth rates.

Nvidia's investment in both companies, totaling $4 billion, sends a strong signal of confidence in the neocloud market. While both businesses face capital-intensive challenges, Nvidia's commitment of $2 billion each to support their growth is a significant vote of confidence.