Nvidia invests $2 billion in CoreWeave to build AI factories and expand data center capacity

CoreWeave stock jumps 10% as Nvidia invests $2 billion to expand AI data center capacity

Shares of CoreWeave popped 10% in premarket trading on Monday after Nvidia announced it has invested $2 billion in the artificial intelligence infrastructure provider. Nvidia purchased CoreWeave Class A common stock at $87.20 per share, according to a release. "CoreWeave's deep AI factory expertise, platform software, and unmatched execution velocity are recognized across the industry," Nvidia CEO Jensen Huang said in a statement. "Together, we're racing to meet extraordinary demand for NVIDIA AI factories -- the foundation of the AI industrial revolution."

Nvidia takes $2 billion stake in CoreWeave

Why it matters: The investment shows that the AI spending spree is far from slowing, even with questions over circular deals growing. Driving the news: Nvidia is buying CoreWeave Class A common stock at a purchase price of $87.20 per share. * The companies said the investment was part of an expansion of their partnership. * CoreWeave shares were up more than 10% in pre-market trading Monday morning. Nvidia was down 0.6% pre-market. What they're saying: "CoreWeave's deep AI factory expertise, platform software and unmatched execution velocity are recognized across the industry," Nvidia CEO Jensen Huang said in a statement. * "Together, we're racing to meet extraordinary demand for Nvidia AI factories -- the foundation of the AI industrial revolution." Zoom out: Nvidia, the main beneficiary of the AI boom, has made multiple investments in other AI companies. * Over the last two years, the company and its venture capital arm have made more than 100 investments, per PitchBook data. * Nvidia took a $2 billion stake in chip-software designer Synopsys late last year. * The chip maker also committed last year to invest $10 billion in AI developer Anthropic. The bottom line: The AI trade is alive and well.

Nvidia invests $2 billion in CoreWeave to accelerate AI factory buildout By Investing.com

NEW YORK/SANTA CLARA - Nvidia (NASDAQ:NVDA) has invested $2 billion in cloud computing provider CoreWeave (NASDAQ:CRWV) as part of an expanded partnership to build more than 5 gigawatts of AI computing infrastructure by 2030. CoreWeave, with its current market capitalization of $46.33 billion, has seen remarkable revenue growth of 235.4% over the last twelve months according to InvestingPro data. The investment, at $87.20 per share of CoreWeave Class A common stock, comes as both companies work to meet growing demand for AI computing resources. CoreWeave's stock currently trades at $92.98, close to its InvestingPro Fair Value, though InvestingPro analysis shows the company is quickly burning through cash with a negative free cash flow yield. Under the expanded collaboration, CoreWeave will develop and operate AI factories using Nvidia's accelerated computing platform. Nvidia will leverage its financial resources to help CoreWeave accelerate procurement of land, power, and building shells for these facilities. The companies will also work to validate CoreWeave's AI-native software and reference architecture for potential inclusion in Nvidia's reference designs for cloud partners and enterprise customers. CoreWeave plans to deploy multiple generations of Nvidia infrastructure across its platform, including early adoption of Nvidia's Rubin platform, Vera CPUs, and Bluefield storage systems. "AI is entering its next frontier and driving the largest infrastructure buildout in human history," said Jensen Huang, founder and CEO of Nvidia, in a press release statement. "CoreWeave's deep AI factory expertise, platform software, and execution velocity are recognized across the industry." Michael Intrator, co-founder, chairman, and CEO of CoreWeave, noted that "Nvidia is the leading and most requested computing platform at every phase of AI - from pre-training to post-training - and Blackwell provides the lowest cost architecture for inference." CoreWeave completed its public listing on Nasdaq in March 2025. The company specializes in providing cloud infrastructure optimized for AI and other compute-intensive workloads. In other recent news, CoreWeave has announced plans to incorporate NVIDIA Rubin technology into its AI cloud platform. This move will enhance options for customers focusing on agentic AI, reasoning, and large-scale inference workloads, with deployment expected in the second half of 2026. CoreWeave has also amended its $2.6 billion delayed-draw term loan agreement to align covenant timelines with delivery schedules, providing liquidity relief by adjusting the minimum liquidity requirement for upcoming payment dates. Analyst activity around CoreWeave has been notable, with Compass Point maintaining a Buy rating and a $150 price target, citing the company's strategic financial adjustments. Meanwhile, JPMorgan has maintained a neutral rating, noting strong demand in the AI compute capacity market, with customer contracts extending from three to five or six years. Goldman Sachs initiated coverage with a Neutral rating and a price target of $86, highlighting CoreWeave's competitive advantage in the AI compute industry. Truist Securities also began coverage with a Hold rating and an $84 price target, acknowledging CoreWeave's role in serving major AI enterprises. These developments reflect the company's ongoing strategic positioning in the AI cloud services sector. This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

CoreWeave stock rises 10% after NVIDIA invests $2 billion to expand AI partnership By Investing.com

Investing.com -- CoreWeave (NASDAQ:CRWV) stock rose 10% Monday morning after NVIDIA (NASDAQ:NVDA) announced a $2 billion investment in the company to expand their AI infrastructure partnership. NVIDIA purchased CoreWeave Class A common stock at $87.20 per share as part of a broader collaboration to accelerate the buildout of more than 5 gigawatts of AI factories by 2030. The investment reflects NVIDIA's confidence in CoreWeave's business model and growth strategy as a cloud platform built on NVIDIA infrastructure. The expanded partnership will focus on building AI factories using NVIDIA's accelerated computing platform technology, with CoreWeave handling development and operations. NVIDIA will leverage its financial strength to help CoreWeave accelerate procurement of land, power, and shell infrastructure. The companies will also test and validate CoreWeave's AI-native software and reference architecture, including SUNK and CoreWeave Mission Control, aiming to include these offerings within NVIDIA's reference architectures for cloud partners and enterprise customers. Additionally, CoreWeave will deploy multiple generations of NVIDIA infrastructure across its platform through early adoption of NVIDIA computing architectures, including the Rubin platform, Vera CPUs, and Bluefield storage systems. "AI is entering its next frontier and driving the largest infrastructure buildout in human history," said Jensen Huang, founder and CEO of NVIDIA. "CoreWeave's deep AI factory expertise, platform software, and unmatched execution velocity are recognized across the industry." The collaboration builds on CoreWeave's purpose-built cloud, software, and operational expertise to enable customers to run demanding AI workloads efficiently and at scale.

Nvidia invests $2 billion in CoreWeave, expands partnership

CoreWeave, Inc. is an American technology company founded in 2017, specializing in cloud infrastructure designed for compute-intensive workloads. It has positioned itself as a niche player in a market dominated by generalist giants. Its offering is built on a vertical specialization in artificial intelligence (AI) and related applications, notably high-performance computing (HPC) and graphical rendering. CoreWeave operates a GPU-first architecture, optimized for training and inference of generative AI models. It also targets scientific and financial computing, as well as real-time 3D rendering needs. With its own data centers located in the United States and Europe, the company maintains full control over its infrastructure. This control enables it to deliver high performance, low latency, and flexible deployment capabilities. Some facilities are shared among clients, while others are fully dedicated to a single customer. CoreWeave serves a diverse clientele, ranging from AI startups to research labs, as well as production studios and financial institutions. In addition to its hardware infrastructure, the company develops its own GPU management software. These tools enable intelligent resource allocation, continuous performance optimization, and better cost control. This vertical integration, from hardware to software, enhances the company's competitiveness. CoreWeave stands out through its tailored approach and its ability to meet clients' specific needs. It aims to become the leading provider for AI workloads on a global scale. In a context of surging demand for computing power, its model is appealing due to its specialization and agility.