CoreWeave Files for IPO Amid AI Cloud Computing Boom and Challenges

CoreWeave (CRWV) IPO Faces Growing Headwinds

This is not investment advice. The author has no position in any of the stocks mentioned. Wccftech.com has a disclosure and ethics policy. CoreWeave (CRWV), a cloud company that specializes in handling GPU-intensive AI workloads, is expected to deliver one of the most highly anticipated public market flotation events of 2025. Yet, the company's IPO faces a growing chorus of challenges. For the benefit of those who might not be aware, CoreWeave has carved out for itself a winning niche: it has created a unique partnership with NVIDIA to be among the first to offer access to NVIDIA's latest-gen GPUs at scale, all packaged within an infrastructure that has been optimized to handle AI workloads, replete with "sub-microsecond" network latency and an effective GPU lifecycle management system. As of the end of 2024, CoreWeave housed over 250,000 GPUs from NVIDIA across its 32 data centers, with the Hopper architecture constituting the vast majority of these GPUs. In the age of generative AI, CoreWeave's strategy has been an obvious hit. Consider the fact that its 2024 revenue increased by 737 percent year-over-year to $1.92 billion from just $229 million in revenue that the company recorded in 2023. Nonetheless, the company has yet to show a profit, having reported a net loss of $863 million in 2024, and $594 million in 2023. CoreWeave has raised $14.5 billion in financing via 12 funding rounds. It currently has a debt load of around $11 billion. Critically, most of CoreWeave's debt stock is secured against its gigantic stash of NVIDIA GPUs. For its part, NVIDIA has taken a $100 million stake (1 percent) in the startup. CoreWeave is planning to raise at least $4 billion via an IPO that would value the company at over $35 billion. This brings us to the crux of the matter. CoreWeave's IPO entails a growing number of risks. For instance, GPU prices continue to moderate as supply expands, leading to inherent risks for CoreWeave's GPU-backed debt load. According to Financial Times, an hour of GPU compute traded at around $2 towards the end of 2024, down significantly from the $8 per hour price tag earlier in 2024. What's more, Microsoft was responsible for 62 percent of CoreWeave's revenue in 2024. And, the tech giant previously intended to spend over $10 billion on CoreWeave's services by 2030. However, recently, Microsoft walked away from some of its purchase commitments with CoreWeave, citing delivery issues and missed deadlines. Then there are sustainability concerns around CoreWeave's revenue trajectory. When NVIDIA's GPUs were in short supply, hyperscalers like Microsoft were happy to contract with CoreWeave. However, the supply of NVIDIA's GPUs is rapidly scaling up. Concurrently, most of these hyperscalers are building their own data center infrastructure. Under the emerging paradigm, CoreWeave might eventually be left with smaller AI-focused startups who can't afford to splurge billions of dollars on carving out a bespoke network of data centers. These customers, however, will not entail the fat margins that CoreWeave typically extracts from its hyperscaler customers. Finally, CoreWeave seems to have chosen an inopportune time to go public. After all, the market is currently fretting over a renewed trade war under the Trump administration 2.0, increased geographical restrictions on NVIDIA's GPUs, and the efficiency-driven gains of China's AI startups like DeepSeek. This is not to say that CoreWeave won't constitute a compelling investment case. After all, the company has just spent $1.7 billion to acquire Weights & Biases, a company that offers specialized platforms to build, train, and fine-tune AI models and applications. This acquisition would increase the convenience and linearity that CoreWeave offers to all AI-focused startups. Nonetheless, Microsoft's scaling down of its existing commitments could herald a broader change for CoreWeave, marring its investment thesis and dulling some of its patina.

AI cloud provider CoreWeave files for IPO

In its IPO prospectus on Monday, CoreWeave said revenue in 2024 soared more than 700% to $1.92 billion. The company recorded a net loss of $863.4 million. In 2024, 62% of CoreWeave's revenue came from Microsoft. CoreWeave filed to trade on the Nasdaq under ticker symbol "CRWV." In the fourth quarter, CoreWeave generated $747.4 million of revenue, with a gross margin, or the revenue left after accounting for the cost of goods sold, of about 76%. The company recorded operating income of $112.7 million, but a net loss of $51.4 million, due to interest expenses. Originally known as Atlantic Crypto, CoreWeave got its start in 2017 by offering infrastructure for mining the ethereum cryptocurrency. After digital currency prices fell, the company bought up additional graphics processing units (GPUs) and changed its name to CoreWeave, with an increasing focus on graphics rendering and artificial intelligence. "We quickly started getting inundated with introductions to businesses dependent upon GPU acceleration with a common pain point: legacy cloud providers make it extremely difficult to scale because they offer a limited variety of compute options at monopolistic prices," co-founder and CEO Brian Intrator wrote in a 2021 blog post. Intrator controls about 38% of the company's voting power before the offering. Hedge fund Magnetar controls 7%, while Nvidia has 1%, the filing showed. At the end of 2024, CoreWeave's fleet included over 250,000 Nvidia GPUs, according to the filing. It does not offer GPUs from rival AMD. Running data centers full of GPUs requires considerable energy. CoreWeave had 360 megawatts in active power, and a total of 1.3 gigawatts had been contracted, the filing said. Morgan Stanley is leading the offering, with help from JPMorgan Chase and Goldman Sachs. CoreWeave will be attempting to enter the public market during a historically slow stretch for tech offerings. When cloud software vendor ServiceTitan hit the market in December, it market the first significant venture-backed tech IPO since Rubrik's debut in April. A month before that, Reddit started trading on the New York Stock Exchange. There haven't been many other tech IPOs of note in the U.S. since late 2021, when rising interest rates and soaring inflation pushed investors out of risky assets. Within the AI infrastructure market, one other name of interest is Cerebras. The chipmaker filed to go public in September, but the process slowed down due to a review by the Treasury Department's Committee on Foreign Investment in the U.S., or CFIUS. CoreWeave gained popularity after OpenAI released ChatGPT in late 2022, because the company could quickly provide GPUs to businesses in need. Microsoft, whose Azure cloud unit has supplied computing power to OpenAI, started working with CoreWeave in 2023 to meet OpenAI demand. "What happened In November of '22, like, that was just a bolt from the blue, right?" Microsoft CEO Satya Nadella said on a podcast released in November with investors Brad Gerstner and Bill Gurley. "So therefore, we had to catch up. So we said, Hey, we're not going to in fact worry about too much inefficiency." Nadella described the GPU cloud leasing as a one-time event, saying Microsoft was no longer short on chips. But on a more recent podcast, the Microsoft chief said the company builds and rents heavily and will still be leasing in 2027 and 2028. In addition to being CoreWeave's top client, Microsoft is also a competitor, along with Amazon, Google, Oracle, and some smaller providers such as Crusoe and Lambda. Nvidia relies on Taiwan Semiconductor Manufacturing Co. for GPU fabrication, and military conflict involving China and Taiwan could pose issues for CoreWeave, the company said in Monday's filing.

GPU cloud operator CoreWeave files to go public - SiliconANGLE

Cloud computing infrastructure provider CoreWeave Inc. is eying the public markets, hoping to cash in on investors' insatiable appetite for all things artificial intelligence. The company said today it has filed the necessary paperwork for its initial public offering with the U.S. Securities and Exchange Commission, and the documents reveal it will trade on the Nasdaq exchange under the "CRWV" ticker symbol. Morgan Stanley is leading the offering, with help from JPMorgan Chase and Goldman Sachs. CoreWeave may not be the most recognizable name, but it has emerged as one of the major movers and shakers in the AI industry because it provides enterprises with access to that most treasured resource: graphics processing units that underlie today's AI services. Through its cloud infrastructure, enterprise customers including Meta Platforms Inc. can obtain on-demand access to some of Nvidia's most powerful GPUs, including its H100 and H200 chips, which are designed to provide accelerated computing power for large language models and other AI workloads. The company has quietly built up an extensive network of data centers spanning North America and Europe. Following its most recent funding round in November, it said it had 14 data centers up and running, with plans to expand to 28 by the end of the year. Additionally, it wants to add another 10 data centers on top of that by the end of 2025. CoreWeave's ambitious infrastructure building plans are necessary to support its incredible growth, which saw its revenue rise by a stunning 700% in 2024, to more than $1.92 billion. It promises to grow even faster in future too, with more than $15 billion in signed contracts that are yet to be fulfilled. However, it's not yet profitable, posting a net loss of $863.4 million for the full year. In its most recent quarter, CoreWeave delivered $747.4 million in revenue. Meanwhile, its gross margin, which measures how much revenue is left over after accounting for the cost of goods sold, hit 76%. CoreWeave began life as a company called Atlantic Crypto and was initially focused on cryptocurrency mining. But with crypto prices beginning to decline in 2022, the company saw a new opportunity in the nascent AI boom, which kicked off later that year with the debut of OpenAI's ChatGPT. It responded by buying up thousands of GPUs, changing its name to CoreWeave and pivoting as an AI computing cloud for companies looking to train and run their own LLMs. The company has proved to be a breath of fresh air for many enterprises, offering flexible, on-demand access to vital GPUs. Its approach is in stark contrast to traditional cloud infrastructure providers such as Amazon Web Services Inc. and Google Cloud, which only offer a limited variety of compute options and charge higher prices to access them. CoreWeave is led by its co-founder and Chief Executive Michael Intrator, who currently controls about 38% of its voting power. The hedge fund Magnetar has a sizable stake in the company and controls 7%, while Nvidia controls 1%, the IPO filing revealed. The documents also show that CoreWeave currently maintains a fleet of more than 250,000 Nvidia GPUs, though the majority of those are older chips, as Nvidia's newest Blackwell chips only entered full production in November. At present, the company does not have any chips from Nvidia's main rival, Advanced Micro Devices Inc. CoreWeave's public debut will be the first major tech IPO of the year, and comes during an historically quiet time for the industry. The last major tech firm to go public was ServiceTitan Inc., which did so in December, and before that we have to go back to last April, when Rubrik Inc. first started trading. Astera Labs Inc., which sells data center networking chips, and Reddit Inc., also went public last year. Prior to those entries, there haven't been any notable tech IPOs since late 2021, which was when the economy first turned unfavorable with rising interest rates and inflation dampening investors's enthusiasm for risky bets. CoreWeave may soon be joined on the public markets by another AI infrastructure startup, though. In September, the AI chip startup Cerebras Systems Inc., a direct rival to Nvidia, also filed for an IPO. However, its process has been slowed down following the start of a review by the U.S. Treasury Department's Committee on Foreign Investment in the U.S.

CoreWeave Begins First Big 2025 AI IPO Push (CRWV)

Looking for more investing ideas like this one? Get them exclusively at IPO Edge. Learn More " CoreWeave Is Growing Rapidly And Producing Operating Profit CoreWeave, Inc. (CRWV) has filed to raise $100 million in an IPO of its Class A common stock, according to an SEC S-1 registration statement, although the final figure may be above $3 Gain Insight and actionable information on U.S. IPOs with IPO Edge research. Members of IPO Edge get the latest IPO research, news, and industry analysis. Get started with a free trial! Donovan Jones is a research specialist with 15 years of experience identifying opportunities for IPOs and public software companies. He also leads the investing group IPO Edge, which offers actionable information on growth stocks through first-look IPO filings, previews on upcoming IPOs, an IPO calendar for tracking what's on the horizon, a database of U.S. IPOs, and a guide to IPO investing to walk you through the entire IPO lifecycle - from filing to listing to quiet period and lockup expiration dates. Learn more Analyst's Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

AI cloud biz CoreWeave files for IPO

GPU farm discloses 77% of revenue tied to just two customers, putting Redmond giant front and center GPU cloud provider CoreWeave has filed for a proposed initial public offering (IPO) in the US, aiming to ride the AI wave and capitalize on the huge growth it has experienced recently. The company, headquartered in Roseland, New Jersey, has filed a registration Form S-1 with the Securities and Exchange Commission (SEC) for a proposed IPO that would see shares of its Class A common stock traded on the Nasdaq Global Select Market under the ticker symbol "CRWV." The number of shares and the price range for the proposed offering have yet to be determined, the firm said. It is being underwritten primarily by Morgan Stanley, JPMorgan, and Goldman Sachs. In its Form S-1, CoreWeave states that it made $1.9 billion in revenue for 2024, a figure that it claims represents a remarkable 737 percent increase compared with the $229 million reported the previous year. The operator is said to be aiming for a valuation of $35 billion for the IPO, up from the $23 billion it was said to be worth just a few months ago. However, the company also disclosed that 77 percent of its revenue came from just two customers during 2024, with Microsoft accounting for 62 percent, meaning it is heavily exposed to the Redmond giant. CoreWeave's growth is due to its cloud platform focused on GPU server infrastructure and services to support the development and training of AI models, which have been in high demand. It claims to have over 250,000 GPUs online, spread across 32 datacenters, mostly located in the US. Last year, CoreWeave announced its intention to expand its datacenter footprint to sites located in Norway, Sweden, and Spain after setting up a new European headquarters in London and saying it would bring a pair of UK facilities online through colocation providers Digital Realty and Global Switch. The rent-a-GPU operator has also seen investors queuing up to pump cash into its expansion over the past year or so, raising $7.5 billion from private equity companies last May following an earlier $1.1 billion round, with Cisco getting in on the act later in the year. But the firm strikes a note of caution in its Form S-1, telling potential investors that revenue growth in any prior period cannot be taken as an indication of future performance. "Even if our revenue continues to increase, our revenue growth rate is expected to decline in the future as a result of a variety of factors, including the maturation of our business," it warns. In addition to factors such as competition, CoreWeave notes that its revenue growth may also be affected by industry-specific factors, particularly the continued development of AI, and the effects of evolving regulations. It also details worries over being able to access enough energy to drive its growing number of GPU farms, something that is becoming a global concern. "Our inability to secure sufficient power or any power outages, shortages, supply chain issues, capacity constraints, or significant increases in the cost of securing power could have an adverse effect on our business, operating results, financial condition, and future prospects," it states. Another risk factor identified is that CoreWeave has a limited number of suppliers that provide the technology infrastructure it depends on to offer a service, with Nvidia a key example. For the year ended December 31, 2024, just three suppliers accounted for 76 percent of all purchases made by the business. "All of the GPUs used in our infrastructure today are Nvidia GPUs," CoreWeave says, which could lead to inflated costs if the Trump administration carries out its threat to impose substantial tariffs on chips made abroad and imported. Alternatives such as AMD's GPUs are also made overseas. ®

Nvidia-backed cloud firm CoreWeave reveals revenue surge in US IPO filing

(Reuters) -Nvidia-backed CoreWeave's revenue surged more than eight-fold in 2024, the cloud provider disclosed on Monday in its U.S. initial public offering paperwork, as the startup presses ahead with the first major artificial intelligence listing in New York this year. The filing lays the groundwork for what could be one of the biggest stock market flotations in recent years and comes as the IPO market springs into action after the seasonal February lull. Roseland, New Jersey-based CoreWeave, along with some existing shareholders, will sell shares in the proposed offering. The company is likely to target raising more than $3 billion from the share sale, Reuters reported in November. Founded in 2017, CoreWeave provides access to data centers and high-powered chips for AI workloads, mainly supplied by Nvidia. It competes against cloud providers such as Microsoft's Azure and Amazon's AWS. CoreWeave, whose customers include hedge fund Jane Street, as well as tech giants Meta, IBM and Microsoft, is expected to aim for a valuation greater than $35 billion in its New York flotation, Reuters reported. The company in November was valued at $23 billion after a $650 million secondary share sale. CoreWeave's revenue vaulted to $1.92 billion in 2024, compared with $228.9 million a year earlier. Its net loss widened to $863.4 million in the same period from $593.7 million in 2023. "CoreWeave should be one of the headline IPOs of 2025. We've been waiting for a tech company like this to break the ice," said Matt Kennedy, senior strategist at Renaissance Capital, a provider of IPO-focused research and ETFs. CoreWeave has raised more than $14.5 billion in debt and equity across 12 financing rounds. In May, CoreWeave raised over $7 billion in one of the largest private debt financing rounds in history, led by asset managers Blackstone and Magnetar. DATA CENTER BOOM The explosive growth in use of AI applications across sectors in recent years has turbocharged global demand for digital infrastructure such as data centers, the powerhouse behind the boom. The launch of low-cost AI models from China's DeepSeek earlier this year rattled investors and raised fears of a pullback in AI spending. Those worries were exacerbated after TD Cowen analysts last month suggested Microsoft was scrapping some data center leases. But AI bellwether Nvidia's quarterly earnings last week showed that the AI boom was not dead yet and allayed doubts around a slowdown in AI spending by tech giants. A successful share sale for CoreWeave could encourage other AI companies to move ahead with their listing plans. "A lot of other AI companies are sitting on the sidelines, waiting for another IPO to crack open the window a bit more. IPO markets have had a shaky start to the year, but a successful listing from CoreWeave could really help get the ball rolling," Kennedy said. Data center operator Switch is weighing an IPO at about a $40 billion valuation, Reuters reported in September. Nvidia rival Cerebras Systems mulled going public last year but postponed its roadshow amid delays with a U.S. national security review, Reuters has reported. CoreWeave's data center footprint grew to 32 in 2024, compared with 10 in 2023. The company runs more than 250,000 graphics processing units in total. Its major shareholders include investment firms Magnetar and Fidelity. Chip giant Nvidia holds a 6% stake in CoreWeave. CoreWeave, which has tapped 14 banks for the IPO, will list on the Nasdaq under the symbol "CRWV." Morgan Stanley, J.P. Morgan and Goldman Sachs are the lead underwriters for the offering. The IPO proceeds will be used for working capital and other purposes, including debt repayment. (Reporting by Arasu Kannagi Basil in Bengaluru; Editing by Alan Barona)

Ahead of a possible $4 billion IPO, CoreWeave's founders already pocketed $488 million | TechCrunch

CoreWeave's initial S-1 document for its upcoming IPO is full of surprises. Backed by Nvidia, CoreWeave runs an AI-specific cloud service from its network of 32 data centers that together have more than 250,000 Nvidia GPUs as of the end of 2024, according to the company. Since then, it has also added a number of Nvidia's latest product, Blackwell, which supports AI reasoning. While we don't know yet how many shares CoreWeave plans to sell or at what price, the IPO specialists at Renaissance Capital estimate the company hopes to raise at least $3.5 billion at a $32 billion valuation, and possibly over $4 billion. That's a big, but not crazy big leap over its last valuation in November when it closed a $650 million secondary share sale that valued it at $23 billion, as reported by Reuters. One surprise from the filing is that the company's three co-founders have already sold off much of their Class A holdings between that 2024 tender offer and one held in 2023. Whatever happens in this IPO, the co-founders have already cashed out nearly $488 million worth of shares. Specifically, across both tender offers, co-founder CEO and chairman Michael Intrator sold about $160 million worth of shares; co-founder and chief strategy officer Brian Venturo sold about $177 million worth of shares; and co-founder and chief development officer Brannin McBee sold about $151 million worth of shares. Despite now owning less than 3% of the Class A shares, the trio will retain control of the company through their majority ownership of CoreWeave's Class B shares, which carry 10 votes per share. Together, they currently control about 80% of the votes. Another unusual thing about this company: the backgrounds of the three are actually in finance, not tech. They hail from oil industry hedge funds. Before CoreWeave, Intrator founded and ran a natural gas hedge fund, working with Venturo. McBee was previously a trader at another such hedge fund, the S-1 says. To bolster their technical chops, they hired Chen Goldberg from Google Cloud as CoreWeave's senior vice president of engineering. She had been previously leading Google's Kubernetes and serverless team. Nvidia has a stake of more than 6% in CoreWeave and is also a CoreWeave user -- a powerful alliance. With a cache of hard-to-get Nvidia GPUs, CoreWeave has enjoyed eye-popping revenue growth: $1.9 billion in 2024, nearly an eightfold increase from just $228,943 in 2023. However, as others have pointed out, a single customer, Microsoft, accounted for 62% of that revenue. And interestingly, CoreWeave named Microsoft both a customer and a competitor, as it did with IBM. Even so, CoreWeave's customer list is enviable and also includes Cohere, Meta, and Mistral, it says. Despite that revenue growth, CoreWeave remains unprofitable, logging hefty losses of $863 million in 2024 alone. And it has a painful $7.9 billion in debt on its books. The founders, leveraging their financial expertise, frame that debt as a feature and not a burden. They call their finances "sophisticated" and even go so far as to say they "pioneered GPU infrastructure-backed lending." Their GPU collection is so valuable, they can use it as collateral. Still, servicing that debt comes at a steep cost -- $941 million in 2024 alone, contributing to the company's losses. CoreWeave says it may use at least some of the money raised in the IPO to reduce its debt burden. How hot of an IPO this will be remains to be seen. But people are eager to back any company generating loads of revenue on AI at the moment, and CoreWeave is definitely doing that.

AI giant CoreWeave's blockbuster IPO filing unveils a shocking detail; one customer drives more than 50% of its $1.9 billion revenue

Nvidia-backed CoreWeave is preparing for its IPO filing with an estimated valuation of $35 billion. The firm relies heavily on two customers for 77% of its revenues. Microsoft accounts for 62% of this. CoreWeave aims to address material weaknesses in its financial systems by 2026. The IPO will be the first major tech IPO of 2025.Nvidia-backed CoreWeave, a leading AI cloud provider, is making waves with its highly anticipated IPO filing. But buried within the excitement of its rapid growth is a startling revelation: one customer alone drives more than half of the company's $1.9 billion in revenue, as per a report. The firm, whose revenue has grown explosively, increasing over 700% in the past year, revealed in its S-1 filing that it is reliant on just two customers for 77% of its revenues, reported Fortune. Microsoft, a major player in the AI sector, accounts for 62% of that figure, leaving questions about the firm's reliance on such a limited number of clients. The other 15% is from another unidentified customer, which does not leave much space to diversify sources of revenue, as per the report. While the company does have other big names in its client roster, including Nvidia (which also holds a 1.21% stake in CoreWeave), Meta, IBM, Cohere, and Mistral, the concentration of revenue among a small number of customers remains a concern, as per Fortune. However, three of CoreWeave's top five customers have already committed to buying more capacity in the next year, adding up to nearly $8 billion in additional spending, reported Fortune. In the filing, CoreWeave also disclosed "material weaknesses" in its IT systems and internal financial reporting, which can delay its capacity to scale and maintain operations, according to Fortune. That adds one more layer of doubt for possible investors, particularly at a time when tech IPOs have been infrequent. The company also hired Google Cloud's Nitin Agrawal as CFO last year and is working to fix gaps in its financial reporting by employing the right people in place to solve some of the material weaknesses, reported Fortune. CoreWeave plans to address these issues with ongoing efforts expected to last until 2026, as per the filing. This news comes as CoreWeave is set to go public on the ticker symbol "CRWV" on Nasdaq, with an estimated valuation of $35 billion, Reuters reported citing sources. The firm is positioning itself as a key participant in the AI revolution with an impressive 250,000 GPUs spread across 32 data centres, as per the Fortune report. While its growth is irrefutable, the filing highlights serious doubts about the firm's capacity to survive potential changes in demand from its largest customers. Meanwhile, CoreWeave's three cofounders-Michael Intrator, Brannin McBee, and Brian Venturo hold 83% of the company's voting power due to a special class of stock, as per the report. In a move ahead of the IPO, the trio, former commodity traders, reportedly sold at least $150 million worth of their shares, according to The Information report. CoreWeave revealed it has raised $12.9 billion in asset-backed debt by the end of 2024, as per Fortune. Originally founded as Atlantic Crypto in 2017, the company is now valued at $23 billion, reported Bloomberg. As per Bloomberg's sources, CoreWeave plans to raise around $4 billion through its upcoming IPO. This marks the first major tech IPO of 2025, and the first under Donald Trump's second term. It also comes after a long drought in tech IPOs, as the market has struggled to bounce back from the high-flying days of 2021, according to Fortune. Who are CoreWeave's biggest customers? CoreWeave's largest customer is Microsoft, which accounts for 62% of its revenue. The company also relies on a second unnamed customer for 15% of its revenue. Other clients include Nvidia, Meta, IBM, and Cohere. What makes CoreWeave stand out in the AI space? CoreWeave positions itself as a key player in the AI revolution, with 250,000 GPUs spread across 32 data centers, as per the IPO filing.

Nvidia-backed cloud firm CoreWeave reveals revenue surge in US IPO filing

March 3 (Reuters) - Nvidia-backed (NVDA.O), opens new tab CoreWeave's revenue surged more than eight-fold in 2024, the cloud provider disclosed on Monday in its U.S. initial public offering paperwork, as the startup presses ahead with the first major artificial intelligence listing in New York this year. The filing lays the groundwork for what could be one of the biggest stock market flotation in recent years and comes as the IPO market springs into action after the seasonal February lull. Roseland, New Jersey-based CoreWeave, along with some existing shareholders, will sell shares in the proposed offering. The company is likely to target raising more than $3 billion from the share sale, Reuters reported in November. The company is expected to aim for a valuation greater than $35 billion in its New York flotation, Reuters reported. CoreWeave's revenue vaulted to $1.9 billion in 2024, compared with $229 million a year earlier. Its net loss widened to $863 million in the same period from $594 million in 2023. CoreWeave in November was valued at $23 billion after a $650 million secondary share sale. A successful share sale for CoreWeave could encourage other AI companies to move ahead with their listing plans. Data center operator Switch is weighing an IPO at about a $40 billion valuation, Reuters reported in September. Nvidia rival Cerebras Systems mulled going public last year but postponed its roadshow amid delays with a U.S. national security review, Reuters has reported. CoreWeave will list on the Nasdaq under the symbol "CRWV". Morgan Stanley, J.P. Morgan and Goldman Sachs are the lead underwriters for the offering. Reporting by Arasu Kannagi Basil in Bengaluru; Editing by Alan Barona Our Standards: The Thomson Reuters Trust Principles., opens new tab Suggested Topics:Deals

AI firm Coreweave files for US IPO, to list on Nasdaq under symbol 'CRWV' By Investing.com

Investing.com -- AI cloud firm Coreweave has submitted its documents for an initial public offering (IPO) in the U.S. The company intends to list its Class A common stock on The Nasdaq Stock Market LLC, using the symbol "CRWV". As of now, Coreweave has not specified the number of shares to be offered or the anticipated offering price. The IPO is being led by J.P. Morgan, Morgan Stanley (NYSE:MS), and Goldman Sachs (NYSE:GS). Coreweave's financial performance in 2024 showed a revenue growth of 737%, with the total revenue amounting to $1.9 billion. The operating income margin for the same year was 17%, with an adjusted operating income margin of 19%. However, the net loss for 2024 stood at $863 million, with an adjusted net loss of $65 million. As of the end of 2024, Coreweave had $15.1 billion in remaining performance obligations, reflecting a 53% increase from $9.9 billion at the end of 2023. The company reported operating 32 data centers with over 250,000 GPUs online. The total contracted power reached approximately 1.3 GW as of December 31, 2024, which the company plans to roll out in the coming years. Coreweave has been a pioneer in delivering NVIDIA (NASDAQ:NVDA) H100, H200, and GH200 clusters into production at AI scale, and was the first cloud provider to generally avail NVIDIA GB200 NVL72-based instances. The company works closely with NVIDIA to deploy the latest GPU technologies at scale and is a partner to NVIDIA. The company believes that the impact of AI will be immense for organizations of all sizes across all sectors, leading to significant productivity gains and time and cost efficiencies. According to IDC, AI is expected to add nearly $20 trillion to the global GDP by 2030. Coreweave is anticipated to be one of the most sought-after platforms for the world's AI workloads. The company's total addressable market opportunity has been estimated by evaluating the size of the large and rapidly growing AI compute software and infrastructure market. According to Bloomberg Intelligence, the market for AI inference/fine-tuning, AI workload monitoring, and training infrastructure will increase by over $300 billion from 2023 to 2028, growing at a CAGR of 38% from approximately $79 billion in 2023 to approximately $399 billion by 2028. This market opportunity is expected to include $330 billion related to training infrastructure, $49 billion related to inference infrastructure, and $20 billion related to workload monitoring, all of which are supportable by Coreweave.

CoreWeave's IPO: 3 Major Red Flags Investors Can't Ignore - Alphabet (NASDAQ:GOOG), Amazon.com (NASDAQ:AMZN)

Our government trade tracker caught Pelosi's 169% AI winner. Discover how to track all 535 Congress member stock trades today. CoreWeave's rapid rise in the AI cloud space has made its upcoming IPO one of the most anticipated in tech. CoreWeave plans to trade its shares on the Nasdaq under the ticker symbol 'CRWV.' But beneath the excitement, there are risks investors shouldn't overlook -- especially as insiders cash out ahead of the public offering. Here are three major concerns to keep in mind. 1. Nvidia Dependency Is A Double-Edged Sword CoreWeave's success is tied almost entirely to Nvidia Corp.'s NVDA cutting-edge GPUs, which power its cloud infrastructure for AI workloads. While this partnership has fueled growth, it also creates risk. Nvidia could shift priorities, limiting CoreWeave's access to its chips in favor of tech giants like Microsoft Corp. MSFT, Alphabet Inc. GOOGL GOOG, or Amazon.com Inc. AMZN. A sudden disruption in supply would hit CoreWeave hard. Investors should also note that Nvidia itself has invested in CoreWeave, which raises questions about how independent the company truly is. Read Also: Nvidia-Backed CoreWeave Eyes $4 Billion IPO: Is This AI's Next Big Test? 2. A $19 Billion Valuation Feels Pricey CoreWeave's valuation has skyrocketed from $2 billion in 2023 to $19 billion in just over a year - an almost tenfold jump. While demand for AI infrastructure is booming, investors should question whether the company's rapid growth justifies such an aggressive price tag. Even more concerning, insiders are reportedly selling shares ahead of the IPO, signaling potential doubts about long-term valuation sustainability. According to the company's IPO prospectus released Monday, founders and former commodities traders Mike Intrator, Brian Venturo, and Brannin McBee each sold at least $150 million in stock ahead of the cloud provider's planned public debut, reported The Information. If those closest to the company are cashing out, should new investors be eager to jump in? 3. Competition From Tech Giants The AI cloud race is heating up, and CoreWeave isn't the only contender. It faces competition from Amazon Web Services, Microsoft Azure, and Google Cloud, which have far more resources, existing enterprise relationships, and the ability to scale AI services faster. CoreWeave may have a first-mover advantage in some niche areas, but sustaining its edge against trillion-dollar tech giants will be an uphill battle. CoreWeave's IPO will likely generate plenty of buzz, but investors should take a step back. With Nvidia dependency, an aggressive valuation, and fierce competition, the risks are just as notable as the opportunities. And when insiders are selling shares before the public even gets a chance to buy in, it's worth asking: what do they know that you don't? Read Also: Nvidia-Backed CoreWeave Files For IPO Amid Explosive AI Growth, Revenue Surges 737% To $1.9 Billion AMZNAmazon.com Inc $203.39-0.80% Overview GOOGAlphabet Inc $168.29-0.22% GOOGLAlphabet Inc $166.72-0.17% MSFTMicrosoft Corp $384.80-0.95% NVDANVIDIA Corp $110.55-3.08% Market News and Data brought to you by Benzinga APIs

AI Cloud Provider CoreWeave Files for IPO After Breakout Year - Decrypt

CoreWeave has filed for what could become one of 2025's most significant tech IPOs. The New Jersey-based company, which pivoted from crypto mining to AI infrastructure six years ago, officially submitted its S-1 registration filing to the SEC on Monday, naming Morgan Stanley, Goldman Sachs, and JPMorgan as lead underwriters. While reports had previously detailed CoreWeave's $4 billion raise, at a valuation exceeding $35 billion, what stands out is its financial performance. The numbers point to an explosive growth for the cloud computing company, aligned externally with how demand for AI infrastructure has boomed. CoreWeave reported $1.9 billion in revenue for fiscal 2024, representing a staggering 737% increase compared to 2023, according to its own financial data cited in the filing. Despite its growth trajectory, CoreWeave recorded an $863.4 million net loss, reflecting substantial infrastructure investments and interest expenses on nearly $8 billion in debt. The company's most recent quarterly results showed $747.4 million in revenue with a 76% gross margin and $112.7 million in operating income. CoreWeave also disclosed $15.1 billion in unfulfilled contract obligations, providing significant revenue visibility. Still, those numbers have led to concerns about whether revenue could shift in the opposite direction. "This is just a big pile of quickly depreciating GPUs and servers in a few buildings, with some 'in the money' contracts signed during a shortage," Jeffrey Emanuel, founder and CEO of AI-powered Layer 1 chain Pastel Network, posted on X. "If the market turns to a GPU oversupply scenario, people are going to look through to the underlying spot earnings and it's going to be really ugly," he said. CoreWeave did not immediately respond to Decrypt's request to comment on that point. Founded in 2017 as Atlantic Crypto by former commodities traders Michael Intrator, Brian Venturo, and Brannin McBee, the company initially mined Ethereum before strategically pivoting to AI infrastructure in 2019. The shift positioned CoreWeave to capitalize on the AI boom following OpenAI's ChatGPT release in 2022. "Legacy cloud providers make it extremely difficult to scale because they offer a limited variety of compute options at monopolistic prices," CEO Intrator wrote in a 2021 blog post, highlighting the market gap CoreWeave targeted. Intrator controls about 38% of voting power, per the filing.

Data centre operator CoreWeave lays groundwork for IPO

Data centre operator CoreWeave is preparing to file for an initial public offering as early as next week that would value the company at more than $35bn and is expected to be one of the biggest artificial intelligence listings of the year. The New Jersey-based start-up is aiming to raise $4bn from the IPO. A former cryptocurrency mining operation, it was an early and prolific buyer of Nvidia's graphics processing units (GPUs), with about 300,000 of the chips that are now the world's hottest commodity for powering AI models. CoreWeave executives have begun meetings with investors this week to test the water on appetite for its IPO, according to people close to the process. Morgan Stanley, Goldman Sachs and JPMorgan are advising on the deal. The people said details and the timing of the IPO plan were still subject to change. CoreWeave declined to comment. The listing will be closely watched by tech companies and their investors who have put IPO plans on hold due to political and market uncertainty in the past two years. However, investors in CoreWeave's IPO will have to grapple with challenges to its business ranging from a substantial debt load to a shift in spending on AI infrastructure by its largest customer, Microsoft, which contributes more than half of total revenue. Microsoft will spend more than $10bn on CoreWeave services by 2030 under five contracts between the two companies, according to people close to the company. Oracle and Meta have also done deals with CoreWeave to license its computing power. But industry observers say Microsoft's data centre strategy may be changing after it ended an exclusivity deal with OpenAI on leasing its computing power, raising questions about its relationships with data centre operators such as CoreWeave. TD Cowen analysts published a report last week saying Microsoft withdrew from two data centre leasing agreements, citing "channel checks" or inquiries with supply chain providers. Meanwhile, Microsoft chief executive Satya Nadella said in an interview earlier this month that there was an "overbuild" of AI infrastructure. "Microsoft's data centre strategy has changed in the context of its divorce settlement with OpenAI," said one investor in CoreWeave. "There are some questions about prospective contracts. Where is the next big contract coming from. and is it imminent in the context of Microsoft unwinding data centre contracts?" In a statement in response to the Cowen report, Microsoft said its infrastructure spending plans remained on track. CoreWeave revenues surged to about $2bn in 2024, from about $200mn a year earlier, and $25mn in 2022, according to people with knowledge of the company's finances. It has raised approximately $11bn of debt and $2bn of equity, pioneering a flurry of asset-backed lending by Wall Street into a burgeoning industry of cloud computing providers known as "neoclouds", which lease GPU capacity to tech companies building AI models. Magnetar Capital, which owns about 20 per cent of CoreWeave, will be among the biggest winners of the IPO, with a stake worth as much as $7bn. The Illinois-based hedge fund, which shot to prominence in the wake of the global financial crisis for its lucrative bets on mortgage securities, was CoreWeave's first institutional backer, providing $50mn of capital in 2021 and investing in subsequent funding rounds. CoreWeave's other equity investors include Nvidia, Coatue Management, Jane Street, Fidelity and Lykos Global Management. Nvidia owns less than 5 per cent of the company, according to a person close to the matter. The bulk of its debt financing has been led by Blackstone, Magnetar and Coatue. Blackstone has loaned about $5bn to the business, according to a person close to the matter. Other lenders include Carlyle, DigitalBridge and BlackRock. CoreWeave also secured a $650mn credit facility with JPMorgan, Goldman Sachs and Morgan Stanley in October last year. The debts are secured against CoreWeave's stock of Nvidia GPUs. CoreWeave was founded under the name Atlantic Crypto in 2017 by commodities traders Mike Intrator, Brian Venturo and Brannin McBee to mine the cryptocurrency ethereum, before pivoting to AI in 2019.

CoreWeave Plans $1.7B Acquisition Deal with AI Developer Platform Ahead of IPO - Decrypt

After filing to go public in what is being considered a generational first, AI cloud infrastructure provider CoreWeave is slated to acquire AI developer platform Weights & Biases through a $1.7 billion deal. The agreement, announced Tuesday, would merge CoreWeave's high-performance computing infrastructure with Weights & Biases' widely-used tools for building, monitoring, and evaluating AI models. Financial terms of the deal remain undisclosed, while the transaction is tabled and expected to close in the first half of this year. Both firms did not immediately return Decrypt's requests for comments. The deal represents a significant consolidation in the AI infrastructure space as companies race to capture market share in the rapidly growing sector. Weights & Biases' tools are used by over a million AI engineers from organizations including OpenAI, Meta, NVIDIA, and others. But CoreWeave could run into challenges as it prepares for its public offering. Matt Turck, partner at venture capital firm FirstMark, sees CoreWeave's campaign as "the first IPO of the Generative AI era," but warns of "unusual risk factors" with how the AI cloud provider positions itself. "A negative take on CoreWeave and comparable companies one would often hear in tech circles is that the company is a "real estate play", with limited technology and software," Turck tweeted. His critique is leveled with the fact that CoreWeave's co-founders "come from a financial, rather than technological, background," Turck added. Such a setting could pose potential risks for CoreWeave, which began as a crypto miner focused on Ethereum in 2019, before gradually pivoting to AI as The Merge switched Ethereum to a proof-of-stake consensus in 2022. Despite generating $1.92 billion in revenue last year, CoreWeave reported a staggering $863.4 million net loss in 2024. With just $1.4 billion in cash reserves, financing the acquisition may require additional capital raises as the company prepares for its Nasdaq debut. The deal also raises concerns about vendor lock-in, as CoreWeave has indicated existing Weights & Biases customers will likely be encouraged to use their cloud services. This vertical integration strategy mirrors moves by larger tech firms that have attracted regulatory scrutiny. The merger also faces potential regulatory hurdles given CoreWeave's backing by NVIDIA and the combined entity's control over both AI development tools and compute infrastructure. Still, Weights & Biases CEO Lukas Biewald remains hopeful for favorable outcomes. "We can build many more useful things for our mutual customers," Biewald said in a blog post, adding that, "There's a ton of innovation at the intersection of hardware and software to unlock right now."

All eyes on Nvidia-backed startup as it prepares for a red-hot IPO, could this be 2025's biggest tech listing?

CoreWeave, a growing AI infrastructure company, is planning to file for a $4 billion IPO in 2025. The company is aiming for a $35 billion valuation. Known for its strong relationship with Nvidia, CoreWeave could become a major catalyst in the tech market. Experts believe this IPO will inspire other tech companies to go public. During a time when the IPO pipeline has been almost dry, one company is generating serious buzz and could be the catalyst the tech market has been waiting for. The company which experts have speculated to be this year's biggest IPO is CoreWeave, a fast-growing AI infrastructure company, reported The Street. Known as "The AI Hyperscaler," CoreWeave provides powerful infrastructure for AI workloads, offering a range of data storage and computing services that support some of the most advanced artificial intelligence systems, as per the report. CoreWeave's close relationship with Nvidia, the world leader in graphics processing units (GPUs) that power many of today's AI technologies, sets it apart, as per The Street. In 2023, CoreWeave was the first company to deploy Nvidia's cutting-edge H200 Tensor Core GPUs, reported The Street. That year, Nvidia also invested a substantial $100 million in CoreWeave, further strengthening their partnership. According to Financial Times, CoreWeave has started preparing to file for its IPO within the next week, with plans to raise $4 billion and target a valuation of $35 billion. This could be exactly what the tech market needs after a lacklustre few years of IPO activity, and many analysts believe it has the potential to be the most significant tech listing of 2025, as per the report. Mark Klein, CEO of SuRo Capital, spoke to TheStreet about his firm's confidence in CoreWeave. He praised the company's "extraordinary" business model, as per the report. He said, "The demand for compute and the supply of compute was the most disproportionate ratio of almost anything I've seen in the close to 40 years that I've been in the business," quoted The Street. According to Klein, one of the key factors that makes CoreWeave's IPO so highly anticipated is its relationship with Nvidia, reported The Street. The two companies have been closely aligned, with CoreWeave receiving early access to Nvidia's next-generation chips. He also mentioned, "You put that all together, you see where they were set up, and the contracts that they have had and continue to get that are long-term contracts," quoted The Street. As per the report, Klein also predicted that CoreWeave will inspire other tech companies to go public. He said, "I think that Coreweave having a successful offering, which we're really confident that they will have, will certainly give bankers and other companies comfort that bringing really good companies priced appropriately to the public markets will be very well received," as quoted in the report. What are CoreWeave's IPO plans? CoreWeave is preparing to file for its IPO next week. It is aiming to raise $4 billion and reach a $35 billion valuation, reported The Street. How is Nvidia involved with CoreWeave? Nvidia has invested $100 million in CoreWeave. The firm also was the first to deploy Nvidia's advanced GPUs.

Nvidia-Backed CoreWeave Eyes $4 Billion IPO: Is This AI's Next Big Test? - Microsoft (NASDAQ:MSFT)

CoreWeave, a cloud computing firm backed by Nvidia Corp NVDA, is racing toward an IPO. It aims to raise $4 billion at a valuation north of $35 billion. CoreWeave could file for a U.S. listing within a week, reported Bloomberg, setting the stage for one of the year's most anticipated debuts. Read Also: IonQ CEO Fires Back At Nvidia's Jensen Huang: 'We Remain The 800 Pound Guerrilla' From Crypto To AI Powerhouse Originally a cryptocurrency mining outfit, CoreWeave pivoted to AI in 2019 and hasn't looked back. The company was an early and aggressive buyer of Nvidia Corp's NVDA GPUs, amassing a staggering 300,000 chips -- now the backbone of AI model training worldwide. This strategic bet has paid off, with revenues skyrocketing from $25 million in 2022 to $2 billion in 2024. Wall Street's Newest Darling? Morgan Stanley, Goldman Sachs, and JPMorgan are steering the IPO, according to the Financial Times. Investor appetite is already being tested. While the company has serious backers -- Nvidia, Coatue, Jane Street, and Fidelity -- it also carries a hefty $11 billion debt load, much of it backed by its prized Nvidia chips. A Shifting AI Landscape CoreWeave's biggest customer, Microsoft Corp MSFT, has committed over $10 billion through 2030, but there's a catch - Microsoft's AI infrastructure strategy is evolving. With reports of data center contracts being unwound, investors are questioning whether CoreWeave can sustain its meteoric rise. The Stakes Are High As AI demand surges, CoreWeave's IPO will be a litmus test for the "neocloud" market. If it lands smoothly, it could validate the booming GPU-rental business. If not, it may signal turbulence ahead in AI's high-stakes gold rush. Read Next: Tesla: The Only Magnificent Seven Stock In Freefall - Can It Reverse Course? Image: Shutterstock MSFTMicrosoft Corp$389.84-0.69%OverviewNVDANVIDIA Corp$119.65-0.42%Market News and Data brought to you by Benzinga APIs

Nvidia Invested in CoreWeave, but I Won't Be Buying the IPO | The Motley Fool

Tech giants like Microsoft (MSFT 0.37%) and Meta have been splurging on artificial intelligence (AI) accelerators and building out massive AI data centers but also have been relying on start-up CoreWeave to meet soaring demand for AI computing capacity. CoreWeave has built a specialized cloud computing platform focused primarily on running AI workloads, and almost all its revenue comes from long-term contracts with major technology companies. At the end of 2024, the company was operating more than 250,000 GPUs within its data centers. AI accelerator market-leader Nvidia (NVDA -0.47%) invested in CoreWeave back in 2023, and now, the AI cloud platform is planning to go public and will likely target a valuation of at least $35 billion. The company is expected to raise over $3 billion from its initial public offering (IPO), which will help fuel further expansion. Revenue exploded by more than 700% in 2024 to $1.9 billion, and CoreWeave plowed $8.7 billion into capital expenditures as it expanded its footprint to meet customer demand. CoreWeave is profitable on an operating basis, although interest payments on its debt eats up all its operating profit. While operating profitability, predictable long-term contracts, and booming demand for AI computing capacity are positives for the company, investors considering buying CoreWeave stock once it goes public should tread carefully. CoreWeave generated 77% of its revenue from just two customers in 2024, and one of them was Microsoft. The latter is spending big on its own AI data centers but also plans to ramp up its leasing activity. Microsoft CEO Satya Nadella recently noted in an interview that the company was planning to lease a lot of capacity in 2027 and 2028. Even though Microsoft is committed to plenty of leasing in the future, relying on so few customers is a major risk. CoreWeave's long-term contracts with customers are take-or-pay, which means that customers pay for a certain amount of reserved capacity regardless of whether they make use of that capacity. In addition, customers provide a sizable prepayment, which helps fund the infrastructure build-out necessary to support the contract. Given that cloud giants and other tech companies are currently scrambling to obtain AI compute capacity, CoreWeave has enough leverage to impose this kind of arrangement. If the company is forced to move to a pay-as-you-go model without multiyear customer commitments, its revenue would become much less predictable. What could cause such a shift? An oversupply of AI computing capacity. Such a scenario may seem unlikely today, but there's a reason Microsoft is planning to bump up leasing activity in a few years. In that same interview with Nadella, the Microsoft CEO noted that he expects the rampant spending on expanding AI computing capacity across the industry to bring prices down. In a world with too much AI computing capacity, you want to be leasing, not owning. In an oversupply scenario, CoreWeave's customers are unlikely to be willing to commit to long-term contracts at fixed rates. CoreWeave's business model is tailor-made for the AI boom, but the company is going to face a reckoning once demand no longer outpaces supply. Nvidia's sales of AI accelerators remain strong, but cracks in the AI growth story are starting to appear. Reports that Microsoft has cancelled some AI data center leases have popped up. While Microsoft hasn't pulled back on its $80 billion infrastructure spending plan for this year, it could be shifting future plans to include more leasing and less building. That's exactly what the company would do if it was growing more worried about oversupply wrecking the value of its AI investments. If pricing on AI computing capacity slumps due to oversupply, pricing on Nvidia's AI accelerators would also come under pressure. CoreWeave wouldn't benefit from lower AI accelerator prices because it would already be dealing with too much capacity. The only winners would be companies like Microsoft, by leasing capacity and paying market rates. CoreWeave grew at an incredible pace in 2024. It's possible the AI boom will continue for another year, another two years, another three years, etc. But eventually, the incredible sums of money being thrown into AI computing capacity will push supply above demand. CoreWeave's business model works great when there's a shortage, but it could fall apart if there's a glut. Should you buy the CoreWeave IPO? All I can tell you is what I'm doing, and I'm a hard no.

IPO-bound CoreWeave to buy AI developer Weights & Biases for a reported $1.4B - SiliconANGLE

IPO-bound CoreWeave to buy AI developer Weights & Biases for a reported $1.4B Cloud-based artificial intelligence infrastructure startup CoreWeave Inc. today announced it plans to buy the AI model development firm Weights & Biases Inc. for an undisclosed price. The company confirmed the acquisition plan just minutes after The Information first reported that it was "in talks" to buy Weights & Biases in a deal valued at $1.7 billion. CoreWeave has emerged as one of the AI industry's hottest properties because it provides enterprises with access to that most treasured resource: the graphics processing units that power today's AI services. Through its cloud infrastructure, enterprise customers including Meta Platforms Inc. can obtain on-demand access to some of Nvidia's most powerful GPUs, including its H100 and H200 chips, which are designed to provide accelerated computing power for large language models and other AI workloads. San Francisco-based Weights & Biases, which had raised more than $250 million in funding from investors since its founding in 2017, has built a platform that promises to speed up the development of AI models. It provides extensive capabilities to AI developers, including tools for managing training datasets, testing how changes to a model affect its performance, and troubleshooting technical problems. In addition, Weights & Biases offers more specialized capabilities, including a set of features for fixing so-called "hallucinations", or erroneous responses that are sometimes generated by large language models. Its platform has proven to be a major it, and the company claims it's being used by more than one million AI engineers, including some from enterprises like OpenAI, Meta Platforms Inc., Nvidia Corp., Snowflake Inc. and Toyota Motor Co. CoreWeave said it will integrate Weights & Biases' capabilities into its cloud infrastructure platform in order to give customers a more comprehensive "end-to-end" AI experience. Not only will they be able to run their models in its cloud, they'll also be able to build and test their own. Collectively, the two companies aim to help customers accelerate their AI roadmaps and bring new applications to market faster. It promised that Weights & Biases' existing customers will continue to be allowed to deploy their AI models wherever they like, meaning they won't be forced onto its cloud infrastructure - though they'll likely be 'encouraged' to consider it. CoreWeave co-founder and Chief Executive Michael Intrator described Weights & Biases as a "phenomenal platform" that helps companies of any size to get a handle on the complexities of building AI models, deploying them and monitoring their performance. Meanwhile, Weights & Biases CEO Lukas Biewald was just as complementary, saying that he has long been an admirer of CoreWeave. "Together with CoreWeave, we will bring this grit and passion for innovation to customers at an even greater scale, with the goal of rapidly accelerating adoption across the world's leading AI labs and enterprises," he promised. The acquisition is subject to "customary closing conditions" and is expected to be finalized in the first half of the year. Assuming it does go ahead as planned, it will bring an even greater sense of urgency to CoreWeave's plan to list on the Nasdaq stock exchange later this year. Only yesterday, the company revealed it had filed the necessary paperwork for its initial public offering, saying it intends to trade on the Nasdaq exchange under the "CRWV" ticker symbol. CoreWeave's IPO filing revealed that the company has seen dramatic growth over the last year, with its revenue rising by a stunning 700% to $1.92 billion in fiscal 2024. It's expecting to grow even faster in future, too, with more than $15 billion in signed contracts that it's yet to fulfill. The company remains unprofitable though, posting a loss of $863.4 million that year.

Nvidia-backed startup Coreweave, which has clients like Microsoft, Meta, is making stock market debut. What do New York Stock Exchange investors need to know?

US startup Coreweave, which specializes in powering artificial intelligence in the cloud, filed with US regulators on Monday for a stock market debut. Coreweave posted revenue of $1.9 billion last year, leaping some sevenfold from 2023 on the AI boom, according to a prospectus filed with the Securities and Exchange Commission, as per a report. The startup said its platform is used by tech titans such as Meta, Microsoft, Mistral AI, and computer chip star Nvidia, AFP reported. CoreWeave's platform consists of software and cloud services that deliver "intelligence needed to manage complex AI infrastructure at scale," it said in the filing. "Our platform supports the development and use of ground-breaking models," the startup added. New Jersey-based CoreWeave plans to offer shares on the New York Stock Exchange under the symbol "CRWV" and raise $3.5 billion or more in the process, according to Renaissance Capital. A haul of that size would place the debut among the 25 largest initial public offerings in US stock market history. The timing of the IPO and details on the number and price of shares were not disclosed. CoreWeave is aiming for a valuation of more than $35 billion, according to media reports. CoreWeave is more than 80 percent owned by its three founders, including chief executive Michael Intrator, the prospectus indicated. Nvidia owns approximately one percent of CoreWeave, which uses the Silicon Valley chip maker's graphics processing units (GPUs). Founded in 2017 under the name Atlantic Crypto, CoreWeave essentially rents out cloud-based computing hardware, according to Renaissance Capital. Q1. Who owns CoreWeave? A1. CoreWeave is more than 80 percent owned by its three founders, including chief executive Michael Intrator, the prospectus indicated. Q2. When was CoreWeave founded? A2. Founded in 2017 under the name Atlantic Crypto, CoreWeave essentially rents out cloud-based computing hardware, according to Renaissance Capital.

Seven Things To Know About CoreWeave's S-1: Top Customers, Revenue And More

CoreWeave, a rising AI cloud provider, has revealed fast-growing revenue from a "limited number of customers," including Microsoft, and how it has scaled its GPU-powered data centers over the last three years ahead of a plan to go public. The Livingston, N.J.-based company shared the details in its S-1 filing with the U.S. Securities and Exchange Commission Monday, where it also shared how it competes against much larger cloud providers like Amazon Web Services and Google Cloud. [Related: Jensen Huang: Nvidia's Just Getting Started After Blackwell's Unprecedented $11B Ramp] CoreWeave is part of a group of smaller cloud service providers focused on developing AI services that are primarily powered by Nvidia GPUs, and the company said it often beats rivals when it comes to launching services based on new chips and systems like Nvidia's Grace Blackwell GB200 NVL72 rack-scale server platform. In the S-1 filing, CoreWeave said its proprietary software and cloud services "deliver the software and software intelligence needed to manage complex AI infrastructure at scale." "Our platform supports the development and use of ground-breaking models and the delivery of the next generation of AI applications that are changing the way we live and work across the globe," the company wrote. What follows are seven highlights from CoreWeave's S-1, including how much revenue it makes from top customers such as Microsoft, how its revenue and net losses have grown over the last three years and its direct sales strategy.

CoreWeave Files for Proposed IPO By Investing.com

The company describes itself as: "CoreWeave powers the creation and delivery of the intelligence that drives innovation. We are the AI HyperscalerTM driving the AI revolution.1 Our CoreWeave Cloud Platform consists of our proprietary software and cloud services that deliver the software and software intelligence needed to manage complex AI infrastructure at scale. Our platform supports the development and use of ground-breaking models and the delivery of the next generation of AI applications that are changing the way we live and work across the globe -- our platform is trusted by some of the world's leading AI labs and AI enterprises, including Cohere Inc. ("Cohere"), International Business Machines Corporation (NYSE:IBM) ("IBM"), Meta Platforms (NASDAQ:META), Inc. ("Meta"), Microsoft Corporation (NASDAQ:MSFT) ("Microsoft"), Mistral AI SAS ("Mistral"), and NVIDIA Corporation (NASDAQ:NVDA) ("NVIDIA")." Morgan Stanley, J.P. Morgan and Goldman Sachs & Co (NYSE:GS) will serve as lead underwriters.

Nvidia-Backed CoreWeave Files For IPO, Revealing Growing Revenue

CoreWeave, a cloud-computing provider that's one of the hottest startups in artificial intelligence, filed for an initial public offering disclosing rapidly growing revenue. The Nvidia Corp.-backed company had revenue of $1.9 billion in 2024, resulting in a net loss of $863 million, versus revenue of $229 million and a net loss of $594 million in the previous year, according to a filing with the US Securities and Exchange Commission on Monday.

Nvidia-Backed CoreWeave Files For IPO Amid Explosive AI Growth, Revenue Surges 737% To $1.9 Billion - Meta Platforms (NASDAQ:META), Goldman Sachs Group (NYSE:GS)

CoreWeave, Inc., a cloud computing firm backed by NVIDIA Corp. NVDA, filed its Form S-1 with the U.S. Securities and Exchange Commission on Monday, signaling its intent for an initial public offering. What Happened: The company, which powers artificial intelligence workloads for giants like Microsoft Corp. MSFT and Meta Platforms Inc. META, aims to list its Class A common stock on the Nasdaq under the ticker "CRWV." This IPO marks a pivotal moment for the AI infrastructure sector, projected by Bloomberg Intelligence to hit $399 billion by 2028. Founded by Michael Intrator, Brian Venturo, and Brannin McBee, CoreWeave has positioned itself as the "AI Hyperscaler," delivering specialized GPU-based cloud services. Its revenue soared to $1.9 billion in 2024 from $229 million in 2023, a 737% jump, though it reported a net loss of $863 million, per the filing. The company's platform, boasting over 250,000 GPUs across 32 data centers, supports AI labs like Cohere and Mistral, leveraging contracts worth $15.1 billion in remaining performance obligations as of Dec. 31, 2024. See Also: NBA Legend Shaq Says His Net Worth 'Quadrupled' Once He Took Note From Jeff Bezos And Started Investing In Things That 'Change People's Lives' Why It Matters: CoreWeave's filing highlights its edge over-generalized clouds, claiming a 20% boost in model FLOPS utilization, a key efficiency metric. "Our platform is trusted by the world's leading AI labs," the prospectus states, citing a record-setting MLPerf benchmark in 2023 -- 29 times faster than competitors. With $14.5 billion raised in debt and equity, including a $7.6 billion facility from Blackstone, CoreWeave eyes expansion amid a $20 trillion AI economic impact forecast by International Data Corporation for 2030. The IPO, underwritten by Morgan Stanley and Goldman Sachs Group Inc., offers shares from both CoreWeave and selling stockholders, with pricing still undisclosed. Read Next: Mark Cuban Was Asked How He'd Invest $100K -- His Answer? Buy Bulk Toothpaste And Soup For The 'Best Guaranteed Return On Investment' Image Via Shutterstock Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. GSThe Goldman Sachs Group Inc$606.50-2.54%OverviewMETAMeta Platforms Inc$657.45-1.61%MSFTMicrosoft Corp$390.51-1.63%NVDANVIDIA Corp$113.93-8.80%Market News and Data brought to you by Benzinga APIs

CoreWeave Files Registration Statement for Proposed Initial Public Offering

LIVINGSTON, N.J., March 3, 2025 /PRNewswire/ -- CoreWeave, the AI Hyperscaler™, today announced that it has filed a registration statement on Form S-1 with the U.S. Securities and Exchange Commission (the "SEC") relating to a proposed initial public offering of shares of its Class A common stock. The number of shares to be offered and the price range for the proposed offering have not yet been determined. CoreWeave has applied to list its Class A common stock on the Nasdaq Global Select Market under the ticker symbol "CRWV." Morgan Stanley, J.P. Morgan, and Goldman Sachs & Co. LLC will serve as joint lead bookrunners for the proposed offering. Barclays, Citigroup, MUFG, Deutsche Bank Securities, Jefferies, Mizuho, Wells Fargo Securities, and BofA Securities will serve as joint bookrunners. Guggenheim Securities, Needham & Company, and Galaxy Digital Partners LLC will serve as co-managers for the proposed offering. The proposed offering will be made available only by means of a prospectus. Copies of the preliminary prospectus, when available, may be obtained from: Morgan Stanley & Co. LLC, Attn: Prospectus Department, 180 Varick Street, 2nd Floor, New York, NY 10014; or J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717 or email: [email protected]; or Goldman Sachs & Co. LLC, Attn: Prospectus Department, 200 West Street, New York, NY 10282 or by emailing [email protected]. A registration statement relating to these securities has been filed with the SEC but has not yet become effective. These securities may not be sold, nor may offers to buy be accepted, prior to the time the registration statement becomes effective. This press release does not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. About CoreWeave CoreWeave, the AI Hyperscaler™, delivers a cloud platform of cutting-edge software powering the next wave of AI. The company's technology provides enterprises and leading AI labs with cloud solutions for accelerated computing. Since 2017, CoreWeave has operated a growing footprint of data centers across the US and Europe. View original content:https://www.prnewswire.com/news-releases/coreweave-files-registration-statement-for-proposed-initial-public-offering-302390684.html SOURCE CoreWeave Market News and Data brought to you by Benzinga APIs

Microsoft walks away from some CoreWeave commitments ahead of $35bn IPO

Microsoft has walked away from some of its commitments with cloud computing provider CoreWeave in a significant blow to a company seeking to launch a blockbuster $35bn initial public offering next month. CoreWeave provides Microsoft with computing capacity from data centres, which the tech giant uses to scale up powerful AI models such as OpenAI's ChatGPT. The partnership is worth billions of dollars to CoreWeave. However, Microsoft has withdrawn from some of its agreements over delivery issues and missed deadlines, according to people with knowledge of the matter. While those people declined to discuss specific details about the abandoned services, one of them said the issues had an impact on Microsoft's confidence in CoreWeave. They added that Microsoft retained a number of ongoing contracts with CoreWeave and it remained an important partner. A shift in the relationship would be major hit to the New Jersey-based company, as Microsoft is its biggest customer by far. Earlier this week, CoreWeave filed for a New York IPO seeking to raise $4bn and expected to value the group at more than $35bn, in what could be the biggest stock market debut for a tech company this year. In its IPO filings, CoreWeave warned that "any negative changes in demand from Microsoft, in Microsoft's ability or willingness to perform under its contracts with us, in laws or regulations applicable to Microsoft or the regions in which it operates, or in our broader strategic relationship with Microsoft would adversely affect our business, operating results, financial condition, and future prospects." Microsoft has agreed to spend more than $10bn on CoreWeave services by 2030 under five contracts between the two companies. Deals with Microsoft represented 62 per cent of CoreWeave's total revenues last year, according to public disclosures. A former cryptocurrency mining operation, CoreWeave pivoted to providing cloud computing services for technology companies to build and train AI models using Nvidia's high-performing graphics processing units (GPUs). The group has amassed more than 250,000 of Nvidia's AI GPUs, making it among the chipmaker's biggest customers. Nvidia is also an investor in CoreWeave, owning more than 5 per cent of the company. CoreWeave said it "has a consistent track record of delivering complex AI infrastructure at scale to some of the world's leading AI labs and enterprises. Doing so has allowed us to earn and maintain the confidence of our customers." Microsoft and Nvidia declined to comment. As part of its IPO filings, CoreWeave also pointed to the risk of "asymmetry" and "delays" in its supply chain related to its concentrated exposure to Nvidia, which supplies all of its chips. The company said it had reduced control over costs and delays in its supply chain "such as the recent delays associated with Nvidia's Blackwell GPUs". In October, Nvidia chief Jensen Huang admitted that its new Blackwell chips had "design flaws" which had led to delays in shipping to customers. Public filings as part of the IPO process show that CoreWeave has grown rapidly while accumulating large amounts of debt. It made $1.9bn of revenue in 2024, up from $229mn a year earlier and $16mn in 2022. However, the company also posted net losses of $863mn in 2024, $594mn in 2023 and $31mn in 2022. CoreWeave has raised $14.5bn in debt and equity across 12 financings, including about $11bn of loans. It has become the pioneer of a flurry of asset-backed lending by Wall Street to technology companies with large volumes of AI chips. Its largest investors are private equity firm Blackstone, which has loaned it about $5bn, hedge fund Magnetar Capital, which owns about 20 per cent of the company, and Fidelity, which manages funds that own about 8 per cent. CoreWeave was founded under the name Atlantic Crypto by commodities traders Mike Intrator, Brian Venturo and Brannin McBee to mine the cryptocurrency ethereum, before pivoting to AI in 2019. The three founders have each sold at least $150mn worth of their stock in the company since December 2023, according to the IPO filings. CoreWeave's 10 directors and executives, including the three co-founders, collectively own about 30 per cent of the company but have more than 80 per cent of the voting rights. Industry observers have said Microsoft's data centre strategy has shifted this year after it ended an exclusivity deal with OpenAI on leasing its computing power. TD Cowen analysts published a note last month saying Microsoft had withdrawn from two data centre leasing agreements, citing inquiries with supply chain providers. In response to the Cowen report, Microsoft said its infrastructure spending plans remained on track. But Microsoft chief executive Satya Nadella said in a recent interview that there had been an "overbuild" of AI infrastructure. Microsoft's decision to walk away from some business with CoreWeave is unrelated to a broader shift in its own data centre plans, according to one of the people close to the matter. In January, the company said it would spend roughly $80bn in this fiscal year ending on June 30, seeking to build out the infrastructure necessary to train AI models and deploy applications. On Wednesday, CoreWeave announced it had reached an agreement to acquire Weights and Biases, an AI developer platform start-up valued at $1.25bn in 2023.

Nvidia-backed cloud firm CoreWeave to acquire AI developer platform Weights & Biases

(Reuters) - Nvidia-backed CoreWeave said on Tuesday that it is acquiring AI developer platform Weights & Biases as the company seeks to extend its cloud platform ahead of its IPO. The deal will combine CoreWeave's infrastructure and managed cloud services with Weights & Biases' platform, which is used for AI model training, evaluation, and monitoring, the company said. Weights & Biases's product is used by technology companies including OpenAI and Meta to build and train AI models and develop and deploy AI applications. The companies did not disclose financial terms of the deal. Technology news website The Information reported the deal could be valued at around $1.7 billion, citing unnamed sources. CoreWeave and Weights & Biases did not immediately respond to Reuters' request for comment on the Information report. Roseland, New Jersey-based CoreWeave earlier this week moved ahead with its listing plans this year and reported a more than eight-fold surge in 2024 revenue. CoreWeave, whose customers include hedge fund Jane Street, as well as tech giants Meta, IBM and Microsoft, is expected to aim for a valuation greater than $35 billion in its New York flotation, Reuters previously reported. (Reporting by Angela Christy in Bengaluru; Editing by Mrigank Dhaniwala)

Nvidia Backed CoreWeave Acquires AI Developer Platform Weights & Biases - NVIDIA (NASDAQ:NVDA)

Every week, our Whisper Index uncovers five overlooked stocks with big breakout potential. Get the latest picks today before they gain traction. On Tuesday, CoreWeave, a cloud-computing firm backed by NVIDIA Corp NVDA has announced its acquisition of Weights & Biases, a prominent figure in the MLOps and LLMOps sectors. The acquisition strengthens CoreWeave's role as an all-encompassing platform for AI development, covering everything from computing power to model management. The move is designed to expand the company's capabilities in building, deploying, and overseeing AI applications throughout their lifecycle. Also Read: Uber And Waymo Introduce Autonomous Rides In Austin: Here's How It Works CoreWeave's partnership with Weights & Biases will deliver a stronger solution for AI labs and businesses, assisting them in building, refining, and deploying applications more efficiently. The acquisition promises notable advantages for customers, including real-time model performance tracking and enhanced orchestration. As part of this collaboration, the unified team will keep driving innovation and expanding product features to speed up time to market. Weights & Biases has been preferred by companies like OpenAI, Meta Platforms Inc META, and NVIDIA. Their software is used for training and optimizing AI models and applications, the company said. Through this collaboration with CoreWeave, users will retain the ability to deploy their workloads on the infrastructure they prefer, providing greater flexibility for developers in various industries. The transaction is expected to close in the first half of 2025, and once completed, the Weights & Biases team will join CoreWeave. CoreWeave, founded by Michael Intrator, Brian Venturo, and Brannin McBee, has emerged as an "AI Hyperscaler" offering GPU-based cloud services. In 2024, its revenue surged 737% to $1.9 billion, though it posted a net loss of $863 million. The platform operates over 250,000 GPUs across 32 data centers, supporting AI labs like Cohere and Mistral, with $15.1 billion in remaining performance obligations as of December 31, 2024. Also, the company has expressed its intent for an initial public offering and has filed its Form S-1 with the U.S. Securities and Exchange Commission. Read Next: Gorilla Technology Signs $1.8B Agreement For Thailand's Energy Transformation Photo via Shutterstock NVDANVIDIA Corp $116.870.76% Overview METAMeta Platforms Inc $640.420.07% This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. Market News and Data brought to you by Benzinga APIs

Nvidia-backed cloud firm CoreWeave to acquire AI developer platform Weights & Biases

March 4 (Reuters) - Nvidia-backed (NVDA.O), opens new tab CoreWeave said on Tuesday that it is acquiring AI developer platform Weights & Biases as the company seeks to extend its cloud platform ahead of its IPO. The deal will combine CoreWeave's infrastructure and managed cloud services with Weights & Biases' platform, which is used for AI model training, evaluation, and monitoring, the company said. Weights & Biases's product is used by technology companies including OpenAI and Meta (META.O), opens new tab to build and train AI models and develop and deploy AI applications. The companies did not disclose financial terms of the deal. Technology news website The Information reported the deal could be valued at around $1.7 billion, citing unnamed sources. CoreWeave and Weights & Biases did not immediately respond to Reuters' request for comment on the Information report. Roseland, New Jersey-based CoreWeave earlier this week moved ahead with its listing plans this year and reported a more than eight-fold surge in 2024 revenue. CoreWeave, whose customers include hedge fund Jane Street, as well as tech giants Meta, IBM (IBM.N), opens new tab and Microsoft (MSFT.O), opens new tab, is expected to aim for a valuation greater than $35 billion in its New York flotation, Reuters previously reported. Reporting by Angela Christy in Bengaluru; Editing by Mrigank Dhaniwala Our Standards: The Thomson Reuters Trust Principles., opens new tab Suggested Topics:Artificial Intelligence

CoreWeave to Acquire Weights & Biases Ahead of its US IPO Debut

CoreWeave aims to harness Weights & Biases expertise in the MLOps and LLMOps ecosystem. Nvidia-backed hyperscaler AI startup CoreWeave is set to acquire Weights & Biases, a developer platform for AI. The company expects to close the acquisition in the first half of 2025. Founded in 2018, Weights & Biases assists enterprises in building AI models and applications used by academic researchers, innovators, and companies such as OpenAI, Meta, and NVIDIA, among others. They assert that they support over 1,400 enterprises, including Toyota, AstraZeneca, and NVIDIA. "This acquisition will be a gamechanger for our customers and the AI market at large, solidifying our position as the AI Hyperscaler, from compute to model management to AI application evaluation and monitoring," CoreWeave said. CoreWeave, founded in 2017, is a cloud infrastructure company equipping companies with GPU computing power. It started as a GPU provider for crypto-miners and then broke into the ranks of hyperscalers in a short period of time. Now it is gearing up for an IPO listing, as reported by Reuters. The startup mentioned that Weights & Biases' expertise will enable it to provide an end-to-end platform to help the world's leading AI labs and enterprises build, tune, and deploy AI applications. Meanwhile, Weights & Biases said the acquisition will be a great experience for its employees. "We're not being acquired by a giant company, we're being acquired by a small, fast-moving organisation, and we're excited to hit the ground running," Lukas Biewald, co-founder and CEO of Weights & Biases, said in a statement.

CoreWeave acquires AI developer platform Weights & Biases

According to The Information, CoreWeave spent $1.7 billion on the transaction. Weights & Biases was valued at $1.25 billion in 2023, and it recently filed for an IPO. Lukas Biewald, Chris Van Pelt, and Shawn Lewis founded Weights & Biases in 2017 to create tools for developing AI applications. Today, over 1,400 organizations, including AstraZeneca and Nvidia, use the startup's tools as their system of record for training and fine-tuning AI models. CoreWeave says the acquisition will let it provide cloud services and infrastructure customers with "a powerful application development workflow to accelerate AI roadmaps and bring innovations to market faster." Weights & Biases' customers will be able to continue deploying workloads where they prefer, CoreWeave said in a press release.