Nebius tests the neocloud playbook with $40 billion in planned spending

Nebius will fund a $40 billion AI infrastructure buildout largely through customer prepayments and debt rather than equity, even as delays at a Microsoft data center raise questions about the neocloud financing model. The company is betting that locking in customer commitments upfront can cover much of the capital cost of its data center expansion. The Microsoft delay matters because prepayment-backed financing depends on customers taking capacity on schedule. Investors will watch whether Nebius can convert signed contracts into prepayments and loans without diluting shareholders or stretching its balance sheet.