Core Viewpoint - Nebius has secured a significant five-year contract worth $17.4 billion with Microsoft, which could increase to $19.4 billion with additional services, positioning the company for substantial growth in the AI cloud infrastructure market [1][6][8]. Company Overview - Nebius specializes in AI-focused cloud infrastructure, utilizing large GPU clusters and offering a comprehensive software platform for building AI solutions [4]. - The company has experienced remarkable revenue growth, with a 545% increase in the first half of 2025, reaching $156 million [3]. Financial Projections - Consensus estimates suggest Nebius will achieve $569 million in revenue by the end of 2025, nearly five times its revenue from the previous year [2]. - The company anticipates its connected data center power capacity to reach 220 megawatts by the end of 2025, with over 1 gigawatt of contracted power capacity expected by the end of next year [10]. Market Potential - The combined market for cloud infrastructure-as-a-service (IaaS) and platform-as-a-service (PaaS) is projected to reach nearly $1.2 trillion by 2030, indicating significant growth opportunities for Nebius [9]. - The demand for cloud AI infrastructure is driving Nebius's growth, as companies invest heavily in training AI models and developing custom applications [6][7]. Investment Considerations - Nebius's market capitalization has surged to just under $22 billion, with the potential for substantial stock price increases if the company can capitalize on its growth opportunities [11][12]. - Achieving a 100 times increase in stock price would require Nebius to generate $250 billion in annual sales, a challenging but not impossible target given the size of its addressable market [12][13].