CoreWeave Rises on $6.3B Nvidia Deal Securing Spare Cloud Capacity

CoreWeave (CRVW) shares gained about 5% in early U.S. trading Monday after the company disclosed a $6.3 billion agreement with Nvidia (NVDA) to guarantee use of its excess server capacity through 2032, according to an SEC filing.

Under the terms, Nvidia will purchase any unused computing resources from CoreWeave until April 2032, ensuring the company’s data centers remain utilized even if client demand falls short. Either side can terminate the arrangement in the event of a breach or bankruptcy.

The agreement provides CoreWeave with a long-term buyer for its spare capacity, helping stabilize revenue as it scales infrastructure. For Nvidia, the deal secures reliable access to additional GPU-based cloud resources at a time of overwhelming demand for artificial intelligence training. It also deepens the relationship between the two firms, with Nvidia both supplying CoreWeave’s GPUs and holding a significant equity stake.

At the end of Q2, Nvidia owned 24.3 million CoreWeave shares valued at nearly $4 billion, making it one of the AI chipmaker’s largest external bets.

Founded in 2017, CoreWeave rents out access to Nvidia GPUs for AI model training. The company went public in March in the largest U.S. venture-backed IPO since 2021, raising billions in debt and equity ahead of its debut.

After surging five-fold post-IPO, CoreWeave’s stock shed about half its value during the summer before rebounding 35% since Labor Day.