Overview

• CoreWeave has signed a five-year, $11.9 billion contract to provide cloud computing services to OpenAI, according to sources.
• As part of the agreement, OpenAI will acquire a $350 million stake in CoreWeave through a private share placement tied to the IPO.
• CoreWeave, backed by Nvidia, has experienced rapid growth, with 2024 revenues surging to $1.92 billion, largely driven by AI demand.
• The deal is expected to strengthen CoreWeave's position ahead of its upcoming IPO, which aims for a valuation exceeding $35 billion.
• This partnership comes as OpenAI seeks additional computing resources and marks a shift in its cloud strategy, previously dominated by Microsoft.