Nvidia invests $2B to help debt-ridden CoreWeave add 5GW of AI compute | TechCrunch
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Nvidia invests $2B to help debt-ridden CoreWeave add 5GW of AI compute
Nvidia said on Monday it has invested $2 billion in CoreWeave to hasten the data center company’s efforts to add more than 5 gigawatts of AI computing capacity by 2030.
The chipmaker, already an investor in CoreWeave, said it had bought the company’s Class A shares at $87.20 per share. As part of the deal, CoreWeave and Nvidia plan to together build “AI factories” (data centers) that would use the chipmaker’s products.
CoreWeave will also integrate Nvidia’s products across its platform, including the new Rubin chip architecture (set to replace the current Blackwell architecture), Bluefield storage systems, as well as the chipmaker’s new CPU line, Vera.
The deal is a strong show of support for CoreWeave, which has come under scrutiny over the past few months for raising billions in debt to continue building out its data center operations. The company had $18.81 billion in debt obligations as of September 2025, according to PitchBook data, and it reported revenue of $1.36 billion in the third quarter.
The company’s CEO Michael Intrator has defended its business model (funding operations by raising debt with its GPUs as collateral), and has addressed concerns of circular deals in the AI industry by saying companies have to “work together” to address a “violent change in supply and demand.”
The company has managed to successfully ride the AI wave since its transition from a crypto mining company to a provider of data center services for AI training and inference. And since its IPO in March last year, it has been busy fleshing out its technology stack with a slew of acquisitions. It acquired Weights & Biases, an AI developer platform, in March, and then soon after bought reinforcement learning startup OpenPipe. In October, it agreed to acquire Marimo (an open-source Jupyter notebook competitor) and Monolith, another AI company. It also recently expanded its cloud partnership with OpenAI.
The company currently counts several hyperscalers as customers, including OpenAI, Meta, and Microsoft.
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As part of the deal, Nvidia will also help CoreWeave buy land and power for data centers, and work with the smaller company to include its AI software and architecture within Nvidia’s reference architecture to sell to cloud businesses and enterprises.
CoreWeave’s shares were up more than 15% following news of the deal.
For Nvidia, arguably the biggest benefactor and driver of the AI boom, the deal is the latest of several dozen investments in the past year as the company does its best to continue fueling the precipitous pace of investment in, and development of, the nascent technology.
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Ram is a financial and tech reporter and editor. He covered North American and European M&A, equity, regulatory news and debt markets at Reuters and Acuris Global, and has also written about travel, tourism, entertainment and books.
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