Topline
Nvidia is investing $2 billion in CoreWeave, extending their relationship as energy demand surges to support the buildout of AI data centers.
The chip giant deepens its partnership with CoreWeave to accelerate the buildout of massive AI data centers as artificial intelligence reshapes global power needs.
AFP via Getty Images
Key Facts
Nvidia purchased CoreWeave Class A common stock at $87.20 per share to accelerate the building of 5 gigawatts of AI factories by 2030.
Shares of CoreWeave jumped 12% after the announcement.
CoreWeave will be the first to deploy future Nvidia products, including storage systems and a new central processing unit, or CPU.
Key Background
Nvidia has been a major backer of CoreWeave, previously agreeing to buy over $6 billion in services from them, according to a September filing. CoreWeave, which went public in March after raising billions in debt and equity, has rapidly expanded its AI infrastructure, striking deals to supply more than $14 billion in AI cloud capacity to Meta and expanding its agreement with OpenAI to as much as $22.4 billion. Once best known for powering video games and crypto mining, Nvidia’s graphic processing units, GPUs, became a critical engine for artificial intelligence. Nvidia’s latest investment underscores a pivotal shift as it prepares to roll out its first CPUs, widely referred to as the brain of the computer. Under their agreement, Nvidia will help CoreWeave secure land and power for data centers and will market CoreWeave’s AI software and architecture designs to partners and customers.
Big Number
$162.8 billion. That’s how much Nvidia’s cofounder and CEO Jensen Huang is worth. CoreWeave’s cofounder, Michael Intrator, is worth $6.1 billion.
