Nebius entered into a commercial agreement with Microsoft to provide dedicated GPU infrastructure capacity at its new data center in Vineland, New Jersey, the company announced on Monday..
The five-year agreement, valued at approximately $17.4 billion through 2031, involves deploying GPU services in several tranches during 2025 and 2026. The contract value could increase to about $19.4 billion if Microsoft acquires additional services or capacity.
Cash flow from the agreement will help finance part of the capital expenditure associated with the project. The GPU infrastructure will be delivered in multiple phases, with specific deployment timelines set for the next two years.
Arkady Volozh, founder and CEO of Nebius, said:
“Nebius’s core AI cloud business, serving customers from AI startups to enterprises, is performing exceptionally well. We have also said that, in addition to our core business, we expect to secure significant long-term committed contracts with leading AI labs and big tech companies. I’m happy to announce the first of these contracts, and I believe there are more to come. The economics of the deal are attractive in their own right, but, significantly, the deal will also help us to accelerate the growth of our AI cloud business even further in 2026 and beyond.”
