Nebius Group announced that the Independence, Missouri City Council approved its Chapter 100 industrial development incentive plan on March 3, 2026, giving the company the green light to build its first gigawatt‑scale AI factory on a 400‑acre campus near Kansas City. The approved plan allows Nebius to develop a facility with up to 1.2 GW of power capacity, enough to host tens of thousands of next‑generation GPUs and support the company’s ambition to expand its AI‑cloud footprint in the United States.
The approval removes a major bottleneck—power procurement and grid interconnection—by securing a connection to Independence Power & Light, the municipal utility. The project will create approximately 1,200 construction jobs and 130 permanent high‑tech positions, and the Chapter 100 incentive includes Payments in Lieu of Taxes (PILOT) projected to deliver over $650 million to the city and local jurisdictions over 20 years. The campus will use a closed‑loop cooling system comparable to a restaurant or office building and incorporate noise‑reduction technology to minimize community impact.
Nebius’s recent financial performance underscores the strategic importance of the new facility. In Q4 2025, the company reported revenue of $227.7 million—$18.3 million below the $246 million consensus estimate—and a net loss of $249.6 million, driven by $2 billion in capital expenditures on AI processors and data‑center investments. Despite the loss, Nebius achieved a 547% year‑over‑year revenue growth and an annual recurring revenue (ARR) of $1.25 billion, reaffirming its 2026 ARR target of $7 billion to $9 billion. The company plans $16 billion to $20 billion in capex for 2026‑27, positioning the Independence factory as a key component of that investment plan.
Arkady Volozh, CEO of Nebius, said, "Independence will be our largest AI factory in the United States to date, and we are fully committed to making it a project the city is proud of. This is our first project of this scale, but not the last." John Sutter, VP of U.S. Public Affairs, added, "We are building AI infrastructure at scale, and we are doing it in a way that genuinely works for the communities where we operate. We are grateful to everyone who supported this project, and we intend to earn the trust of all Independence residents — not through promises, but through results."
The new facility will accelerate Nebius’s capacity buildout, potentially adding hundreds of millions of dollars in annual recurring revenue once operational. By securing a large, reliable power supply and local incentives, Nebius can scale its GPU‑dense data centers more efficiently, reducing per‑unit power costs and improving operational leverage. The project also strengthens Nebius’s competitive position against hyperscalers and specialized AI infrastructure providers, expanding its U.S. presence and reinforcing its strategy to become a leading AI‑cloud platform.
In summary, the Chapter 100 approval marks a significant milestone for Nebius Group, unlocking a high‑capacity AI factory that will drive future revenue growth, create substantial local jobs, and enhance the company’s ability to compete in the rapidly expanding AI infrastructure market. The approval aligns with Nebius’s aggressive capital‑expenditure plan and supports its long‑term goal of achieving $7 billion to $9 billion in ARR by 2026.
The content on EveryTicker is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.