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Sources with knowledge of the situation reveal that Microsoft has inked a deal with Nebius Group NV, a burgeoning cloud service enterprise. This agreement will see Nebius Group NV supply computing power to bolster Microsoft's in-house teams as they work on developing large language models and AI assistants. This strategic move underscores Microsoft's approach to tackling the capacity constraints plaguing AI data centers. By tapping into external computing power sources, Microsoft can redirect its own server farm resources towards delivering high-profit-margin AI services. Moreover, Microsoft has entered into agreements totaling over $33 billion with a number of emerging cloud service providers, aiming to harness their AI computing power capabilities.
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