Artificial intelligence (AI) stocks continue to capture investor interest, particularly following significant developments involving Nebius Group and its partnership with Microsoft. Nebius Group announced a landmark multibillion-dollar contract worth $17.4 billion to provide AI infrastructure to Microsoft over the next five years. If Microsoft decides to extend its capacity, the deal could increase to as much as $19.4 billion. The services will be delivered from Nebius’s new data center in Vineland, New Jersey, which is set to begin operations later this year. The announcement led to a surge in Nebius’s shares during premarket trading, while Microsoft experienced a modest uptick.
In a related move, CoreWeave, a direct competitor of Nebius, also gained traction in the market after revealing the establishment of CoreWeave Ventures, a new investment arm dedicated to supporting AI startups. This initiative signals a growing commitment to fostering innovation in the AI sector.
Further strengthening the AI narrative, Nvidia saw a slight increase in its stock prices as news emerged that the company’s Chief Financial Officer announced the acquisition of licenses to ship its H20 chips to various customers in China. However, the geopolitical climate continues to present challenges for the semiconductor giant.
Snowflake also experienced a positive shift in its stock valuation, following the announcement from rival Databricks that it has reached a staggering $100 billion private valuation. Additionally, Snowflake revealed that its AI product offerings have now exceeded a revenue run-rate of $1 billion.
As investors eagerly anticipate Oracle’s upcoming quarterly results, the company’s shares have increased in value. Wall Street analysts have raised their price targets for Oracle, betting on stronger growth in its performance. The concurrent developments point to a robust interest in AI-related technologies, suggesting a potential uptrend in the sector as companies seek to capitalize on burgeoning opportunities in this space.
