DigitalOcean is positioning itself as an affordable, accessible AI platform for small and medium-sized businesses, aiming to drive growth as AI adoption expands.

By the end of 2025, the company reached $970 million in annual run-rate revenue, up 18% year over year, with AI products and services contributing $120 million of ARR, up 150% year over year.

Key partnerships with OpenAI, Anthropic, NVIDIA, and AMD power DigitalOcean’s Gradient platform and data centers through advanced models and chips.

Looking ahead, DigitalOcean plans to deploy the $800 million in funding to expand data center capacity and accelerate revenue growth.

CEO Yancey Spruill reiterates a commitment to ongoing investment in data center infrastructure to meet growing SMB demand for AI-powered services.

The Gradient platform remains central, offering access to large language models and AI-powered apps, with data centers providing pay-as-you-go AI chip rentals.

DigitalOcean asserts its AI computing prices can be as much as 75% cheaper than hyperscale cloud providers, appealing to budget-conscious SMBs.

Forecasts project 2026 revenue growth of 21%, followed by about 30% growth in 2027.