Nvidia's Investment Strategy - Nvidia has invested in an Amsterdam-based AI infrastructure company, Nebius Group, as part of its strategy to expand its portfolio in the AI sector [1][3] - Nvidia holds ownership positions in six publicly traded companies, including SoundHound AI, which has seen a 950% increase in share price over the last 12 months [2] Nebius Group Overview - Nebius Group, previously affiliated with Yandex, became an independent entity after Yandex divested its non-Russian assets due to sanctions imposed after Russia's invasion of Ukraine [4][5][6] - Nebius raised 700millionthroughaprivateplacement,issuing33.3millionsharesat21 each, with Nvidia and venture capital firm Accel as key investors [7] Nebius Group's Business and Financial Performance - Nebius operates in AI infrastructure, generative AI, autonomous driving, and technology-based education through subsidiaries Toloka, Avride, and TripleTen [8] - The company reported a 766% year-over-year revenue increase to 43.3millioninQ32024,withAIinfrastructureaccountingfortwo−thirdsoftotalsales[9]−Nebius′cloudbusinessgrewalmostthreefoldquarter−over−quarter,reachinganannualizedrunrateof120 million [9] - The company projects its annual recurring revenue (ARR) run rate to reach up to 1billionbytheendof2025,supportedby2.3 billion in cash and equivalents as of Sept. 30 [10] Nebius Group's Growth Prospects - Nebius is positioned to benefit from the projected 1trillionspendingonAIinfrastructureanditsroleinNvidia′sBlackwellGPUrollout[11]−ThecompanyisexpandingitsdatacenteroperationsacrossParisandFinland,drivenbydemandforNvidiaGPUclusters[13]−Nebius′potentialpartnershipswithotherchipplayerslikeAdvancedMicroDevicesandcloudhyperscalerssuchasOracle,Microsoft,Amazon,andAlphabetcouldfurtherenhanceitsgrowth[14]InvestmentConsiderationsforNebius−Nebius′sharepriceof31 is near the midpoint of its high and low points since its Nasdaq listing, making it an attractive option for AI investors [12] - The company's international presence and ties to Nvidia provide diversification and growth potential, making it a compelling opportunity for patient investors [15]