IBM finds a neocloud cash injection with $240m Together AI deal

The multi-year deal will see the neocloud rent a fresh batch of NVIDIA servers.

Updated Aug 12, 2026 4:24 PM / Published Aug 12, 2026 11:59 AM 2 min read

IBM finds a neocloud cash injection with $240m Together AI deal — Image credit: https://unsplash.com/@purzlbaum

With AI compute capacity in high demand, even IBM is now cashing in and selling access to servers. This week, Big Blue signed a $240 million deal with Together AI to rent Nvidia hardware via IBM Cloud.

Under the deal Together AI will offer open source model inference deployments hosted on Nvidia HGX B300 servers via IBM Cloud from early 2027, a needed boost after a troubled quarter for IBM.

IBM Cloud General Manager Alan Peacock said the “scalable, economical, enterprise-grade AI infrastructure” would serve companies racing to scale agentic AI as the industry shifts away from a focus on training models.

IBM described the deal as “multiyear” but did not provide details on how long it will last. It will deploy a “large cluster” of the HGX B300 systems from Q1 2027 in IBM Cloud’s first large-scale dedicated cluster for inference.

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Noah Bovenizer

Noah Bovenizer is a senior reporter with The Stack. He previously covered the transportation sector for Global Data. He has a first class degree in journalism and has also worked as a newsreader for Gaydio.