Cohere and CoreWeave to Build Multibillion-Dollar AI Data Center in Canada with Government Support

2 Sources

Cohere Inc., an AI startup backed by Nvidia, partners with CoreWeave to construct a massive data center in Canada. The project receives significant financial support from the Canadian government as part of its AI strategy.

News article

Cohere and CoreWeave Announce Multibillion-Dollar AI Data Center Project

Artificial intelligence startup Cohere Inc. has revealed plans to partner with CoreWeave Inc. in constructing a multibillion-dollar data center in Canada. This significant development comes with substantial financial backing from the Canadian government, marking a major step in the country's AI infrastructure expansion 12.

Project Details and Government Support

While the exact location of the new AI data center remains undisclosed, the project is set to receive considerable support from the Canadian government. As part of its C$2 billion Canadian Sovereign AI Compute Strategy, the government has pledged up to C$240 million ($170 million) in support for Cohere 2.

Francois-Philippe Champagne, Canada's innovation minister, expressed enthusiasm for the project, stating, "Canadian champions drawing in billions of dollars in investment to build infrastructure is a home run when it comes to putting policy in action" 2.

Cohere's Investment and Expansion

Cohere is expected to make a significant investment in the project, aiming to enhance its model training capabilities and secure computing power within Canada. The data center will not only serve Cohere's needs but also provide capacity for other players in the AI industry 2.

Company Profile and Growth

Founded in 2019 by Aidan Gomez, Nick Frosst, and Ivan Zhang, Cohere has quickly become one of Canada's largest startups. With dual headquarters in Toronto and San Francisco, the company boasts a valuation exceeding $5.5 billion and employs approximately 400 people 12.

Cohere has raised an impressive $970 million from a diverse group of investors, including tech giants like Nvidia Corp., Oracle Corp., and Cisco Systems Inc., as well as the Public Sector Pension Investment Board and Montreal-based investment firm Inovia Capital 2.

Business Model and Revenue Growth

Initially focused on using large language models to generate text from prompts for businesses, Cohere is now shifting its strategy. In a recent letter to employees and investors, CEO Aidan Gomez outlined the company's plans to develop more tailored and secure models, addressing the challenges businesses face in implementing generative AI 2.

The company has demonstrated strong revenue growth, with annualized revenue reaching $35 million by the end of March, a significant increase from $13 million at the end of 2023 2.

Implications for Canada's AI Ecosystem

This project represents a major boost for Canada's AI ecosystem and its ambitions to become a global leader in artificial intelligence. By attracting substantial investments and fostering partnerships between innovative startups and established tech companies, Canada is positioning itself at the forefront of AI research and development.

Explore today's top stories

Google Unveils Gemini 2.5 Deep Think: A Powerful AI Model for Complex Problem-Solving

Google releases Gemini 2.5 Deep Think, an advanced AI model designed for complex queries, available exclusively to AI Ultra subscribers at $250 per month. The model showcases improved performance in various benchmarks and introduces parallel thinking capabilities.

Ars Technica logoTechCrunch logoCNET logo

17 Sources

Technology

15 hrs ago

Google Unveils Gemini 2.5 Deep Think: A Powerful AI Model

OpenAI Secures $8.3 Billion in Funding, Reaching $300 Billion Valuation

OpenAI raises $8.3 billion in a new funding round, valuing the company at $300 billion. The AI giant's rapid growth and ambitious plans attract major investors, signaling a significant shift in the AI industry landscape.

TechCrunch logoCNBC logoThe New York Times logo

10 Sources

Business and Economy

7 hrs ago

OpenAI Secures $8.3 Billion in Funding, Reaching $300

Reddit's AI-Driven Strategy Boosts Revenue and User Engagement

Reddit's Q2 earnings reveal significant growth driven by AI-powered advertising tools and data licensing deals, showcasing the platform's successful integration of AI technology.

TechCrunch logoReuters logoDataconomy logo

7 Sources

Business and Economy

15 hrs ago

Reddit's AI-Driven Strategy Boosts Revenue and User

Reddit Aims to Become a Go-To Search Engine with Unified AI-Powered Search Experience

Reddit is repositioning itself as a search engine, integrating its traditional search with AI-powered Reddit Answers to create a unified search experience. The move comes as the platform sees increased user reliance on its vast community-generated content for information.

TechCrunch logoCNET logoThe Verge logo

9 Sources

Technology

23 hrs ago

Reddit Aims to Become a Go-To Search Engine with Unified

GPT-5: OpenAI's Game-Changing AI Model Set for Imminent Release

OpenAI is poised to launch GPT-5, a revolutionary AI model that promises to unify various AI capabilities and automate model selection for optimal performance.

ZDNet logoEconomic Times logo

2 Sources

Technology

15 hrs ago

GPT-5: OpenAI's Game-Changing AI Model Set for Imminent
TheOutpost.ai

Your Daily Dose of Curated AI News

Don’t drown in AI news. We cut through the noise - filtering, ranking and summarizing the most important AI news, breakthroughs and research daily. Spend less time searching for the latest in AI and get straight to action.

© 2025 Triveous Technologies Private Limited
Instagram logo
LinkedIn logo