1. Nebius Group N.V. (NBIS) is rapidly expanding its capacity to meet growing demand, with all available capacity already sold out and more customers locking in capacity for longer terms due to NVIDIA’s Blackwell generation ramping up.
2. NBIS is aggressively addressing capacity constraints by planning to reach 2.5 GW of contracted power by 2026 and connecting 800 MW to 1 GW of power to its data centers by year-end 2026, enhancing its ability to serve large-scale AI workloads.
3. Nebius is investing significantly in its expansion, raising its 2025 CapEx guidance to around $5 billion and revising its 2025 revenue guidance to $500–$550 million, aiming to achieve $900 million to $1.1 billion ARR by the end of 2025 and $7–$9 billion ARR by the end of 2026.
4. Competitors like Microsoft (MSFT) and CoreWeave, Inc. (CRWV) are also aggressively expanding their AI capabilities, with Microsoft planning to increase total AI capacity by over 80% in 2025 and CoreWeave facing supply constraints impacting its revenue outlook for 2025.
5. Nebius’ stock has surged 144.2% in the past six months, with a lower price/book ratio than the industry average. The Zacks Consensus Estimate for NBIS’ 2025 earnings has seen a downward revision, and the company currently carries a Zacks Rank #4 (Sell).
6. Microsoft and CoreWeave are also making significant strides in the AI space, with Microsoft expecting strong Azure revenue growth and CoreWeave benefiting from product innovations and customer engagements, despite supply constraints affecting its outlook.

Read more at Nasdaq.: Can Nebius Overcome Its Capacity Bottleneck to Drive Higher Revenues?