Overview
- Bloom announced on May 20 that it will install, operate, and maintain its solid oxide fuel cells for Nebius under a 10‑year capacity and service contract projected to total up to $2.6 billion.
- The deal is structured to produce recurring service revenue rather than one‑time hardware sales, changing Bloom’s revenue mix and giving the company a multi‑year income stream tied to data‑center power needs.
- Bloom’s solid oxide systems can run on natural gas, biogas, or hydrogen and are pitched as a way for AI campuses to avoid delayed grid hookups and deliver steady, low‑NOx on‑site power; the first project is expected to bring 328 MW online this year.
- Investors and analysts have turned bullish after recent multi‑gigawatt contract news and an April earnings beat, lifting price targets and institutional ownership while pushing the stock sharply higher.
- Significant execution risks remain because revenue depends on scaling factories, completing site interconnections, converting backlog into on‑time installations, and managing potential dilution tied to partner warrants.