Core Insights - Nebius Group N.V. (NBIS) aims to achieve $1.1 billion in annualized run-rate revenue (ARR) and $630 million in total group revenues by 2025, with a strong performance in Q2 2025 reporting revenues of $105.1 million, a 625% increase year over year and more than double the previous quarter [1][11] Company Performance - The company's AI cloud infrastructure revenues surged due to high customer demand for copper GPUs, with the platform operating at near-peak utilization [2] - Nebius' core business focuses on an AI cloud platform for intensive workloads, supported by in-house developed software and hardware, with R&D hubs in Europe, North America, and Israel [3] - In Q2, the core unit achieved positive adjusted EBITDA ahead of schedule, with the entire supply of previous-generation hoppers sold out, awaiting the launch of new Blackwell GPUs [4] Growth Strategy - Nebius is expanding its data center capacity significantly, targeting 220 MW of active or GPU-ready power by year-end and over 1 GW by 2026 [5] - The company has raised over $4 billion in capital and has a strong balance sheet, with access to additional funds through its other businesses and investments [7] - Nebius enhanced its cloud software to support growing capacity and large-scale clusters, expanding its customer base with major tech firms [6] Market Context - The global demand for AI-specific infrastructure is increasing, with hyperscalers, startups, and enterprises ramping up GPU investments [2] - Nebius faces competition from technology giants like Microsoft and CoreWeave, which are also expanding their AI capabilities and infrastructure [8][9][10] Financial Metrics - Nebius raised its year-end ARR guidance from $700 million–$1 billion to $900 million–$1.1 billion due to expected sales increases from GPU upgrades and capacity growth [4][11] - The company's shares have surged 642.1% year to date, outperforming the Internet – Software and Services industry, which grew by 41.8% [13]