Nebius, an emerging AI cloud service provider known as "Neocloud," announced on September 8th that it has secured a substantial cloud GPU leasing agreement with Microsoft valued at at least $17.4 billion. Under the agreement, Nebius will provide Microsoft with dedicated GPU infrastructure capacity from its new data center in Vineland, New Jersey, in phases spanning five years, starting later this year and continuing through 2026. The total contract value of the agreement, which runs until 2031, is approximately $17.4 billion. Microsoft can also acquire additional AI GPU computing capacity under the agreement, expanding the contract value to approximately $19.4 billion.