In an effort to increase data centre capacity in the US, Nvidia has invested $2 billion in CoreWeave, making it the second-largest stakeholder in the AI infrastructure provider. This is to accelerate the development of “AI factories” (data centres). Nvidia has now invested $8.3 billion in CoreWeave since September 2025 thanks to its stock transaction.
The funding will enable the establishment of several generations of Nvidia infrastructure across Core as well as future AI factories.Weave’s platform, the businesses said. The CEO and creator of Nvidia, Jensen Huang, stated in a statement that “AI is entering its next frontier and driving the largest infrastructure buildout in human history.” “We’re working together to meet the exceptional demand for Nvidia AI factories.”
CoreWeave’s stock increased 9% in premarket trading following the announcement on Monday.
As industry use of AI speeds up, so-called neocloud companies like CoreWeave, which give IT companies the hardware and cloud capacity needed to design, run, and deploy AI technologies, have experienced a boom in demand in recent years.
Nvidia’s recent investment will enable CoreWeave to acquire the land and electricity needed to construct data centres more quickly. By 2030, CoreWeave hopes to have more than 5 gigawatts of AI data centre capacity.
According to the firms, Nvidia will invest $87.20 per share in CoreWeave. According to Reuters calculations based on data provided by LSEG, that amounts to an addition of over 23 million shares, almost doubling Nvidia’s holding in the company.
Nvidia paid $87.20 per share for CoreWeave Class A common stock. Strong demand for CoreWeave’s services is demonstrated by the large customer contracts it has acquired, such as a $14.2 billion agreement with Meta Platforms and an extended contract with OpenAI worth up to $22.4 billion.
With 24.3 million shares, or 6.3% of the company, Nvidia was the third-largest shareholder in CoreWeave.
Investor concerns about possible circular funding have been raised by the chip giant’s billion-dollar investments in AI companies, such as OpenAI, the producer of ChatGPT, and Neoclouds.
According to a CoreWeave representative who talked to Reuters, the money from the new investment will go into expanding its workforce, research and development, and other data centre initiatives rather than buying Nvidia processors.
CoreWeave, a former bitcoin miner, has changed course to take advantage of the AI boom by leasing Nvidia GPUs to tech and AI companies.
In every stage of artificial intelligence, Nvidia is the most popular and sought-after computer platform. Michael Intrator, CEO of CoreWeave, stated, “This expanded collaboration highlights the strength of demand we are seeing across our customer base.”
According to the companies, Nvidia’s most recent investment will also aid in the testing and validation of CoreWeave’s AI-native software and reference architecture, such as SUNK and CoreWeave Mission Control, and allow those products to be incorporated into Nvidia’s reference architectures for cloud and enterprise clients.
Michael Intrator, co-founder, chairman, and CEO of CoreWeave, stated in a statement that “AI succeeds when software, infrastructure, and operations are designed together.” “As AI systems transition to large-scale production, this expanded collaboration highlights the strength of demand we are seeing across our customer base and broader market signals.”
In September, CoreWeave joined Nscale, Nvidia, and OpenAI in a $15 billion UK-based AI buildout project. A global rollout of 300,000 Nvidia GPUs was part of that plan.
According to Steven Dickens, CEO and analyst at HyperFrame Research, there are still concerns over CoreWeave’s capacity to provide end users with value. Dickens declared, “The circular economy continues.” “Nvidia has the financial strength and enormous balance sheet to complete these transactions. However, I would like to know if CoreWeave has the consistent demand, especially in inference, to support this kind of buildout.
Dickens likened the buildout effort to the internet’s dark fibre era. “It was built out before demand. This is an increase in demand.
The early market trading saw an increase in CoreWeave’s shares.
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