PYMNTS.com October 24, 2025

As demand for artificial intelligence (AI) training large models rises, traditional providers such as Amazon Web Services, Microsoft Azure and Google Cloud are facing limits in available capacity.

A group of smaller infrastructure firms known as “neoclouds” has started to fill that gap. These companies lease clusters of graphics processing units, or GPUs, to AI developers and enterprises that need computing resources on short notice. Rather than offering full software platforms, they specialize in the raw compute that powers AI systems.

Training and deploying modern AI models requires far more computing power than most data centers were built to handle. Each GPU draws substantial electricity and generates heat that demands advanced cooling and network systems. Existing facilities, designed for...

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Topics: AI (Artificial Intelligence), Cloud, Technology
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