Nepalese data center operator DataHub has partnered with the cloud orchestration platform Hosted AI to launch YetiCloud.ai, a new AI cloud service designed to provide GPU-powered infrastructure within Nepal. The initiative marks a significant step for the country’s nascent digital economy, offering local businesses and institutions access to sovereign AI compute resources for the first time.
Announced via a LinkedIn post by DataHub on July 5, 2026, YetiCloud.ai aims to bridge the infrastructure gap for Nepali startups, developers, researchers, universities, and public-sector organizations. “With YetiCloud.ai, our goal is to make GPU-powered AI infrastructure accessible to Nepali businesses, startups, developers, researchers, universities, public-sector organizations, and AI innovators,” the company wrote. “From model training and fine-tuning to inference, AI application hosting, and enterprise AI adoption, YetiCloud.ai is designed to support Nepal’s next generation of digital innovation.”
Hosted AI provides the underlying orchestration and optimization platform for the neocloud, which is equipped with Nvidia GPUs. The service is hosted within DataHub’s existing facilities in Kathmandu and Butwal, where the company has operated data centers since 2012. At the time of writing, the YetiCloud.ai website was not yet accessible.
The strategic importance of the launch is underscored by Nepal’s unique energy profile. Ditlev Bredahl, CEO of Hosted AI, explained that the country’s grid is 95 percent hydroelectric, and last year Nepal curtailed roughly $192 million worth of monsoon surplus power because there was no buyer for it. “YetiCloud.ai turns that wasted power into sovereign compute,” Bredahl said. “For the first time, a bank in Kathmandu or a startup in Pokhara can rent serious GPUs hosted in Nepal, under Nepali law, paid in rupees, at a price that beats importing inference from Virginia or Singapore. Most countries will rent their AI infrastructure from someone else. Nepal just decided not to.”
This launch comes at a time when Nepal’s data center market remains very small, with DataCenterMap listing just nine facilities in the country. In May 2026, local operator Bichuten Data Vault announced plans for two new data centers with a combined capacity of 5MW, signaling a gradual expansion of the sector. By leveraging low-cost, renewable hydropower, YetiCloud.ai positions itself as a cost-competitive alternative to importing AI compute from major hubs in the U.S. or Asia, while also ensuring data sovereignty and local currency transactions.
Source: datacenterdynamics