Nebius Group to Raise AI Compute Prices Amid High Demand
Nebius Group (NASDAQ: NBIS) is increasing the price of its on-demand artificial intelligence computing power by up to 21% starting October 1, with the cost for an Nvidia B300 GPU rising from $7.85 per hour to $9.50. This follows earlier hikes in May and reflects a broader trend as older chips like the H100 also see significant price increases—up by around 53% since early this year. The company is experiencing strong demand, with CFO Dado Alonso stating that Nebius has sold out of capacity despite rapid expansion. CEO Arkady Volozh noted in a shareholder letter that all planned 2027 capacity could be pre-sold today under current terms. A recent auction for new Blackwell chips cleared at the highest price yet—15% above previous rates. Despite these increases, their impact on revenue is limited due to long-term contracts already signed and locked in pricing. However, prices per megawatt have risen sharply from $12 million annually in 2026 to over $40–$50 million for short-term deals as of the second quarter.
Topics: AI computing capital expenditures cloud pricing Nvidia GPUs