Neocloud companies see explosive growth in AI compute demand
Neocloud companies, such as CoreWeave and Nebius, are building specialized GPU data centers for AI workloads, giving them a cost advantage over hyperscalers.
These companies are experiencing rapid growth, with CoreWeave and Nebius expected to see revenue multiply over the next couple of years.
However, this growth is fueled by significant borrowing, with CoreWeave racking up $34.66 billion in long-term debt and Nebius borrowing $9.47 billion.