Nvidia poured another $2 billion into CoreWeave this January, snapping up Class A shares at $87.20 each. The chip giant now holds the second-largest stake in the AI cloud operator, nearly doubling its position to push for over 5 gigawatts of data-center capacity by 2030. CoreWeave, which went public last year at a $23 billion valuation after slashing its IPO ambitions, has since inked deals worth tens of billions. But debt piles high. Customers like Meta and OpenAI commit massively, yet skeptics question if Nvidia’s support masks deeper vulnerabilities.
The partnership dates back to 2023, when Nvidia first chipped in $100 million alongside a $1.3 billion rental agreement for its own GPUs. Fast-forward to 2026: Nvidia’s latest infusion came amid CoreWeave’s aggressive expansion, including deployments of Nvidia’s Vera Rubin platform and Vera CPUs. ‘Nvidia invested an additional $2 billion in CoreWeave, purchasing stock at $87.20 a share, reflecting confidence in the AI data-center company,’ reported The Wall Street Journal. CoreWeave CEO Michael Intrator called financing critiques ‘ridiculous,’ pointing to $25 billion in total capital raised.
CoreWeave’s public debut in March 2025 was rocky. It priced shares at $40, down from a $47-$55 range, raising $1.5 billion instead of $4 billion. Nvidia anchored with a $250 million order to steady the ship, valuing the firm at $23 billion fully diluted. Shares have since climbed; Bank of America hiked its target to $120 in April, citing deals with Meta ($21 billion expansion through 2032, totaling $35 billion) and Anthropic. ‘CoreWeave lands deals with Meta and Anthropic,’ noted The Street, with stock up 54% year-to-date at the time.
Jane Street piled on last month, committing $6 billion for cloud services and investing $1 billion at $109 per share, making it the fifth-largest shareholder. ‘Jane Street invested $1 billion in CoreWeave and signed a $6 billion deal,’ said The Wall Street Journal. Anthropic’s multi-year pact followed, alongside Nvidia’s praise for CoreWeave’s mixed-generation clusters handling Vera Rubin. Yet revenue concentration bites: Microsoft dominated early at 62% in 2024, Nvidia 15%, per Kerrisdale’s short report. Microsoft skipped a $12 billion option in 2025, handing it to OpenAI.
Debt fuels the fire. CoreWeave secured an $8.5 billion GPU-collateralized loan in March, investment-grade rated and backed by Meta’s contract. ‘CoreWeave raises $8.5 billion GPU loan backed by Meta deal,’ detailed Bloomberg. Earlier, a Blackstone loan breach triggered defaults pre-IPO. Capex soars—$20-23 billion planned for 2025 alone on infrastructure. Revenue hit $981 million in Q1 2025, up 420%, but adjusted losses widened to $150 million.
Nvidia CEO Jensen Huang dismisses circularity claims. ‘It’s ridiculous,’ he told reporters, insisting investments are tiny versus CoreWeave’s needs and ecosystem-wide. Nvidia rents back capacity, signed a $6.3 billion order in 2025 allowing redirects, and holds stakes across neoclouds like Nebius. ‘Nvidia invests $2 billion in CoreWeave to boost data center build-out,’ confirmed Reuters. Huang: ‘If we didn’t support CoreWeave, they wouldn’t exist.’
Risks loom large. Kerrisdale shorts CoreWeave, flagging debt-fueled GPU buys rented out, with Nvidia as enabler and renter. A Poolside data-center deal fizzled in April. Power constraints hobble builds; U.K. expansions with Nscale target 120,000 Blackwell GPUs. Analysts forecast 2026 revenue at $10.9-14.9 billion, backlog over $67 billion. Shares trade around $110, up from IPO but volatile.
CoreWeave thrives on Nvidia’s orbit—250,000+ GPUs across 32 centers, first to deploy GB200 NVL72. OpenAI’s $22.4 billion pact (up from $11.9 billion) underscores demand. But execution matters. Can it diversify beyond whales? Scale without endless borrowing? Nvidia’s bet signals faith. Boom. Or bubble?
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