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

The artificial intelligence infrastructure race is moving from a chip shortage story into a race for something harder to manufacture: data center capacity. Land, electricity, and finished buildings are becoming the bottlenecks as hyperscalers pour hundreds of billions of dollars into AI. That is creating an opening for a new breed of cloud providers that can secure capacity where the largest cloud companies cannot.

At Thursday's Goldman Sachs Communacopia + Technology Conference, Nvidia (NVDA) CEO Jensen Huang made clear that he sees this market expanding for years—and his comments were particularly bullish for CoreWeave (CRWV) and Nebius Group (NBIS).

Huang said Nvidia remains confident it can deliver roughly 70% year-over-year (YoY) revenue growth next year, even though unconstrained demand is growing at more than 100%. The problem is not customers. It is getting enough power, land, and data centers online. That is where neoclouds enter the picture.

"The power of the neoclouds is this," Huang said at the conference. "They secure land, power, and shell for us that the CSPs have already exhausted." He specifically singled out CoreWeave and Nebius, saying both are "doing fantastically."

That is more than a compliment. It explains why Nvidia is willing to put billions of dollars behind these companies. Nvidia has effectively turned neoclouds into another distribution channel for its AI systems while gaining access to data center capacity that would otherwise be difficult to secure.

CoreWeave is the larger and earlier-scaled of the two publicly traded neoclouds, having built its AI-cloud business years before Nebius emerged from the Yandex restructuring. Its growth has been extraordinary. According to its second-quarter earnings release, revenue reached $2.58 billion, up from $1.21 billion a year earlier, while its revenue backlog reached $104 billion.

Nvidia put another $2 billion behind that growth in January, purchasing CoreWeave shares at $87.20 apiece. The companies also expanded their relationship to support more than 5 gigawatts of AI factories by 2030, including Nvidia CPUs, storage platforms, and multiple generations of Nvidia systems.