TLDR
- At Goldman Sachs conference, Nvidia CEO Jensen Huang specifically highlighted CoreWeave and Nebius, stating both companies are “doing fantastically”
- CoreWeave achieved Q2 revenue of $2.58 billion, representing 112% year-over-year growth, alongside a $104 billion backlog
- Nebius experienced explosive 454% year-over-year Q2 revenue growth reaching $582 million, with impressive 50% AI-cloud EBITDA margins
- Each company received $2 billion commitments from Nvidia, with combined targets exceeding 5 gigawatts of AI infrastructure capacity by 2030
- Financial challenges include CoreWeave’s $33.8 billion debt load and $626 million Q2 net loss, though Nebius reduced adjusted losses by 64%
Nvidia CEO Jensen Huang delivered a strong public vote of confidence for two AI cloud infrastructure providers during last week’s Goldman Sachs Communacopia + Technology Conference. He specifically identified CoreWeave and Nebius Group as companies successfully addressing a critical challenge in AI infrastructure development: securing land, electrical power, and data center facilities.
According to Huang, the primary constraint in AI expansion has shifted away from semiconductor availability. The real challenge now lies in physical infrastructure components—power grid access, suitable land parcels, and completed facility construction.
“They secure land, power, and shell for us that the CSPs have already exhausted,” Huang explained, referring to these neocloud infrastructure specialists.
Despite unconstrained demand expanding beyond 100%, Nvidia anticipates approximately 70% year-over-year revenue growth for next year. Neocloud providers are instrumental in narrowing this supply-demand differential.
CoreWeave: Explosive Revenue Paired with Substantial Debt
CoreWeave disclosed Q2 revenue reaching $2.58 billion, representing significant expansion from the prior year’s $1.21 billion. The company’s revenue backlog surged to $104 billion, marking a 246% year-over-year increase.
CoreWeave, Inc. Class A Common Stock, CRWV
In January, Nvidia made a $2 billion investment in CoreWeave, acquiring shares priced at $87.20 per unit. The partnership extends to collaborative efforts targeting over 5 gigawatts of AI factory infrastructure capacity by decade’s end.
However, financial headwinds persist. CoreWeave recorded a $626 million net loss during Q2 and maintained approximately $33.8 billion in outstanding debt as of June 30. Additionally, the company increased its 2026 capital expenditure projection to a range between $35 billion and $39 billion.
Year-to-date in 2026, CoreWeave shares have appreciated roughly 18%, substantially underperforming Nebius’s stock performance.
Nebius: Accelerated Expansion with Improved Profitability Metrics
Nebius posted remarkable 454% year-over-year Q2 revenue growth, reaching $582 million. The company’s AI-cloud adjusted EBITDA margin hit 50%, while contracted power capacity guidance exceeded 4 gigawatts.
Nvidia allocated $2 billion to Nebius in March via a pre-funded warrant instrument covering 21.1 million shares.
Major technology corporations have established significant contracted demand with Nebius. SEC documentation reveals a prospective $27 billion five-year infrastructure agreement with Meta Platforms, alongside potential Microsoft GPU-cloud commitments totaling up to $17.4 billion extending through 2031.
Nebius achieved a 64% reduction in adjusted net loss, bringing it down to $33.2 million in Q2. The company’s stock has skyrocketed 146% during 2026.
According to Synergy Research Group, the neocloud infrastructure sector produced $25 billion in revenue during 2025 and is forecast to expand to $400 billion by 2031. This trajectory represents a 58% compound annual growth rate.
Bank of America research indicates the aggregate backlog from Microsoft, Oracle, Amazon, and Google reached $2.3 trillion at Q2’s conclusion.
Both enterprises operate within a rapidly expanding market segment. CoreWeave provides greater backlog transparency and scale. Nebius delivers superior growth velocity and improved profitability metrics. Industry analysts project robust expansion trajectories for both companies throughout upcoming years.
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