Nebius plans $40 billion in 2027 spending as Microsoft data center delays mount

Nebius laid out $40 billion in planned 2027 spending on its third-quarter earnings call, funded largely by customer prepayments and loans backed by customer contracts. Its Vineland, New Jersey site for Microsoft, under a contract worth up to $19.4 billion, is months behind schedule, with only just over half of the Microsoft capacity now planned for delivery by year-end and the rest in Q2 2027. Nebius cut its 2026 revenue forecast by $200 million to $3 billion and reported third-quarter revenue of $981 million, up 571% year over year, while shares fell 17%.