Nvidia’s $2 billion investment in Nebius Group to accelerate AI data center expansion sent shares of NBIS higher, while Nvidia’s own stock dipped amid cautious sentiment over U.S.-Iran peace negotiations.
Nebius (NBIS) surged over 2% to near $286.69 after the announcement of the equity investment, which will help scale its active data center capacity from 170 MW at end-2025 to a targeted 800 MW–1 GW by end-2026. The build-out is part of a massive $20–25 billion capital expenditure plan for 2026, backed by long-term contracts with Microsoft and Meta. NBIS has rebounded dramatically from its 52-week low of $43.89, trading close to its high of $298.80.
The chipmaker’s direct financial commitment — rather than a simple hardware supply deal — signals deep strategic alignment with Nebius. Meanwhile, Nebius’s Q1 2026 AI cloud revenue climbed 841% year-over-year to $390 million, and its subsidiary Avride completed 174,000 robot deliveries in the same quarter, up 178% YoY, with total deliveries surpassing 500,000. Uber Eats uses Avride’s sidewalk robots, and Uber has jointly invested $375 million into the autonomous vehicle unit. Avride is also targeting the robotaxi market, though it faces regulatory scrutiny after 16 accidents in three months.
On the other side, Nvidia (NVDA) fell 0.5% to $209.65 in premarket trading as investors assessed the progress of U.S.-Iran peace talks and renewed fighting in Lebanon. A successful deal could lower energy prices, ease inflation, and give the Federal Reserve room to cut rates — all of which would support AI hardware spending. Nvidia’s fundamentals remain strong: Q1 revenue hit $81.61 billion (up 85.2% YoY), EPS of $1.87 beat estimates, and the company authorized an $80 billion buyback alongside a dividend hike. Wall Street consensus remains overwhelmingly bullish with a $305.67 average price target, and institutional ownership stands at 65.27%.
For the broader crypto market, Nvidia’s deepening role in AI infrastructure and geopolitical moves that could lower rate expectations are positive signals. AI-focused blockchain projects may benefit from the continued AI data center boom, even if direct crypto exposure is indirect.
