NexGen Cloud secures €41 million to expand sovereign AI infrastructure in Europe

London-based NexGen Cloud, a technology firm specialising in AI infrastructure, shared today the successful closure of its Series A funding round, raising a substantial €41 million, with a post-money valuation of €323 million. This investment, primarily from high-net-worth individuals and family trusts, will strengthen the company’s mission to provide hyperscale-like capacity across global regions, with […] The post NexGen Cloud secures €41 million to expand sovereign AI infrastructure in Europe appeared first on EU-Startups.

Apr 8, 2025 - 09:27

London-based NexGen Cloud, a technology firm specialising in AI infrastructure, shared today the successful closure of its Series A funding round, raising a substantial €41 million, with a post-money valuation of €323 million.

This investment, primarily from high-net-worth individuals and family trusts, will strengthen the company’s mission to provide hyperscale-like capacity across global regions, with a particular focus on delivering sovereign capabilities in Europe and beyond.

“We are thrilled to have the backing of our esteemed investors who share our vision for a robust and sovereign AI infrastructure in Europe,” said Chris Starkey, CEO and Co-founder of NexGen Cloud. “This Series A funding is a pivotal step towards realising our goal of becoming the backbone for AI-powered solutions across the continent.”

Founded in 2020, NexGen Cloud is a provider of enterprise AI cloud solutions for the Global market. They look to deliver scalable, production-ready platforms tailored for the demands of modern Gen AI workloads.

NexGen Cloud’s solutions aim to meet the diverse needs of AI enterprises and practitioners through a suite of specialised products and services, including Private Clouds for large-scale sovereign AI environments, and Hyperstack, an on-demand service for enterprise GPU access supporting AI startups and developers.

Since its flagship platform, Hyperstack, launched in 2023, NexGen Cloud has reportedly achieved a total revenue of €83.9 million for 2023 and 2024, with a 380% growth in revenue from AI cloud operations. The platform has also seen a “2272% increase in transactions year-on-year“.

The company offers both AI compute capacity for large enterprises and on-demand compute through Hyperstack’s AI-as-a-Service Cloud offering. It currently manages “thousands of GPUs” with a 90% utilisation rate and has attracted over 10,000 users, including organisations such as Red Hat, Ingenix.AI, Tyne, and ArchiLabs – according to the company.

NexGen Cloud became an early mover into GPU Cloud by developing its own Application Program Interface (API) to enable channel partners to deliver enterprise-grade AI compute through Hyperstack.

Ed Goode, CEO of Shadeform, commented on their partnership with NexGen Cloud, “NexGen has been an incredibly reliable partner as we’ve scaled our cloud marketplace. Their consistently dependable servers across all categories of GPU workloads — paired with top-tier support and performance — have been first class. We’re proud to be growing alongside their team and expanding fleet.”

The Series A investment will be strategically allocated to scale NexGen Cloud’s infrastructure in response to high platform utilisation rates and Europe’s rapidly growing AI demands. Additionally, the company will expand its Full Stack Cloud capabilities to support production-ready AI applications for the enterprise market.

Brian Bakerman, CEO & Co-founder of ArchiLabs, commented on the collaboration with NexGen Cloud, “I have tried a number of different GPU-accelerated cloud providers and Hyperstack has by far the best support and pricing on the market.”

The company’s technology roadmap includes advancing its infrastructure services and launching new AI products that enable enterprises to integrate AI across the entire development cycle—supporting full production readiness. These solutions will allow serverless inference to run on dedicated virtual machines, giving customers greater control over privacy and data security.

NexGen Cloud will also introduce services such as Fine-Tuning-as-a-Service, helping customers efficiently adapt pre-trained AI models to their specific use cases while optimising resource allocation across AI clusters.

NexGen Cloud’s investment in its AI infrastructure is a strategic move to address the growing demand for high-performance computing power necessary for complex AI applications.

By further scaling its existing high-performance infrastructure, NexGen Cloud hopes to be well-positioned to deliver advanced AI capabilities with efficiency and scalability to Enterprise and global markets.

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