Microsoft has signed a deal worth up to $19.4 billion to purchase cloud computing capability from Nebius.

Microsoft has reached a multi-year agreement worth nearly $20 billion with Nebius Group NV to acquire artificial intelligence cloud computing capabilities. Nebius, a technology company spun off from Russian internet giant Yandex, disclosed in a filing with the U.S. Securities and Exchange Commission on Monday that the agreement will last until 2031 and is valued between $17.4 billion and $19.4 billion. The company's investors include companies such as NVIDIA and Accel Partners. This agreement represents a huge deal for Nebius, as the company has been focused on seizing opportunities in the artificial intelligence AI boom by expanding its data center business. Meanwhile, Microsoft is seeking to address the ongoing shortage of AI cloud computing capabilities.