Nebius Group (NBIS) raising its rates for renting computing power confirms that demand for artificial intelligence infrastructure remains high, according to Freedom Broker analysts. Price increases even for previous-generation accelerators indicate that available capacity is still insufficient, despite investors’ concerns about a possible slowdown in the development of AI models.
Nebius to raise rates by up to 21%
Nebius is a cloud infrastructure provider for artificial intelligence developers. The company gives clients access to data centers and Nvidia (NVDA) graphics processors used to train and run AI models. The target price and upside potential for Nebius shares are not specified in the Freedom Broker report.
From October 1, Nebius will increase the cost of renting computing power based on several generations of Nvidia accelerators. Rates for H100 will rise by 17%, H200 by 20%, B200 by 19%, and B300 by 21%. Against this backdrop, Nebius shares were up more than 6% in premarket trading. Shares of another cloud AI infrastructure provider, CoreWeave (CRWV), rose by about 3–4%.
According to Freedom Broker analysts, the rate increase strengthens expectations for improving business economics for cloud providers. Higher prices while maintaining utilization of computing capacity can support revenue and profitability for companies that rent out artificial intelligence infrastructure.
Accelerators of different generations are getting more expensive
Of particular importance is the price increase not only for the latest B200 and B300, but also for H100 and H200. These processors belong to previous generations of Nvidia accelerators, yet demand for them remains sufficient to warrant a tariff revision.
This may indicate that AI developers continue to need accessible computing resources regardless of the hardware generation. The newest accelerators are in demand for the most complex models, while H100 and H200 are still used to train, refine, and operate existing systems.
“Actual price dynamics so far indicate that demand for computing power remains high,” Freedom Broker analysts note.
The market feared a slowdown in the AI segment
The news came after a sell-off in companies tied to AI infrastructure. Investors feared that a slowdown in progress of frontier models could lead to a reassessment of tech companies’ capital expenditures and a decline in demand for data centers and graphics processors.
Nebius’s decision to raise rates does not support this scenario. On the contrary, it points to a persistent capacity shortage and gives cloud providers an opportunity to pass high infrastructure costs into service pricing.
Equipment makers’ performance is also supporting the sector. In the previous trading session, Nvidia shares rose 0.82%, AMD 1.65%, and Intel 4.03%. By the end of the day, information technology posted the best performance among the major S&P 500 sectors, despite the Federal Reserve’s rate increase.
High demand does not eliminate risks
The shortage of computing resources supports rates, but the development of cloud AI infrastructure requires large investments in graphics processors, data centers, power capacity, and cooling systems. For investors, the key factors remain equipment utilization, timelines for launching new sites, and providers’ ability to turn revenue growth into sustainable cash flow.
In addition, increasing supply from Nebius, CoreWeave, and the largest cloud platforms could weaken the shortage over time. For now, however, the rate increase shows that demand is growing quickly enough to allow operators to raise prices for capacity across different generations.
This is not an individual investment recommendation.