Nvidia Invests $2 Billion in CoreWeave to Expand AI Data Center Capacity to 5 Gigawatts by 2030
Nvidia has announced a $2 billion investment in CoreWeave, nearly doubling its stake in the AI cloud provider, with plans to develop over 5 gigawatts of AI data centers by 2030. This partnership aims to meet the growing demand for AI infrastructure, as CoreWeave shifts towards building its own facilities and utilizes Nvidia's advanced technologies. The investment positions Nvidia to capture 70% of the projected $250 billion revenue from these data centers.
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Nvidia announced a $2 billion investment in CoreWeave on January 26, nearly doubling its stake in the AI cloud provider. This partnership aims to develop over 5 gigawatts of AI data centers by 2030, addressing the increasing demand for AI infrastructure.
Nvidia purchased approximately 23 million shares of CoreWeave at $87.20 per share, making it the third-largest investor in the company. CoreWeave plans to utilize multiple generations of Nvidia infrastructure, including the forthcoming Vera Rubin hardware and Bluefield storage systems.
The projected cost of these data centers is around $250 billion, with Nvidia expected to capture 70% of the associated revenue. CoreWeave is shifting towards building its own facilities to mitigate reliance on third-party developers. The investment reflects Nvidia's confidence in CoreWeave's growth strategy amidst significant market demand for AI capabilities.
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