As artificial intelligence adoption accelerates across industries, a new category of cloud provider has emerged to meet the growing demand for computing power. Known as Neocloud providers, these companies specialise in delivering AI focused infrastructure built around high performance graphics processing units (GPUs).
Unlike traditional cloud service providers that offer a broad range of services including storage, databases, networking and computing, Neocloud companies focus primarily on providing access to GPU powered computing resources required for training and running AI models.
The Neocloud model has gained prominence as businesses increasingly seek access to advanced AI infrastructure without making large capital investments in expensive hardware. Instead of purchasing and managing thousands of GPUs, companies can rent computing capacity from Neocloud providers on demand.
Most Neocloud operators lease space and power within data centres, install large clusters of GPUs and offer these resources to customers through a cloud based platform. This business model is often referred to as GPU as a Service (GPUaaS).
Neocloud providers serve a wide range of customers, including AI research labs, technology start-ups, enterprises, media companies and scientific institutions. Their infrastructure requirements are similar to those of AI focused data centres, requiring high density racks, advanced cooling systems and significant power capacity.
The rise of Neocloud has been fuelled by the rapid growth of generative AI, large language models, machine learning applications and data intensive workloads. Global players such as CoreWeave, Lambda and Nebius have emerged as key participants in this space, while regional providers are expanding across Asia Pacific.
Industry experts view Neocloud as one of the fastest growing segments within digital infrastructure. As AI adoption continues to increase, demand for specialised GPU computing is expected to drive further investment in Neocloud platforms and the data centres that support them.
