CoreWeave Rises After $6.3B Cloud Deal With Nvidia
CoreWeave (CRVW) shares climbed nearly 5% in early U.S. trading Monday after the cloud computing company announced a $6.3 billion agreement with Nvidia (NVDA) to purchase its unused data center capacity through April 2032, according to an SEC filing.
The deal guarantees CoreWeave a long-term buyer for spare computing resources, reducing revenue risk as it scales operations. Nvidia secures reliable access to GPU cloud infrastructure, bolstering its supply for artificial intelligence workloads at a time of surging demand.
The partnership deepens ties between the companies. Nvidia supplies GPUs to CoreWeave and owns 24.3 million of its shares, valued at $3.96 billion at the end of Q2.
CoreWeave, founded in 2017, rents GPU access for AI training. It went public in March in the largest U.S. venture-backed IPO since 2021. The stock initially surged fivefold before losing about half its value in the summer, though it has rebounded 35% since Labor Day.
