CoreWeave Shares Jump After Nvidia Invests $2B to Expand AI Data Center Capacity

Shares of CoreWeave surged on Monday after Nvidia announced a $2 billion equity investment aimed at accelerating the buildout of large-scale AI data center capacity.

Nvidia purchased CoreWeave Class A common stock at $87.20 per share, according to the companies, a discount to Friday’s close of $92.98. The deal values the investment as a strategic vote of confidence and sent CoreWeave shares up as much as 12% in early trading.

The capital will help CoreWeave speed its plan to deploy 5 gigawatts of AI “factory” capacity by 2030, a scale that underscores the rapidly rising power demands of advanced artificial intelligence workloads. Five gigawatts is roughly equivalent to the annual electricity usage of about 4 million U.S. households, based on Energy Information Administration data.

“This allows us to accelerate our build and continue diversifying our customer base as we scale,” said CoreWeave CEO Michael Intrator in an interview on CNBC. He added that expanding capacity reduces reliance on any single customer as demand continues to surge.

Nvidia CEO Jensen Huang emphasized that the investment represents only a portion of the capital required to reach that scale. “We’ve invested $2 billion, but the total funding needed to support five gigawatts is quite significant,” Huang said, noting that the buildout will require substantial additional financing over time.

CoreWeave generates revenue by building and leasing data centers packed with Nvidia’s GPUs, which are essential for training and operating large AI models. The company has emerged as a key player in what investors increasingly describe as the “neocloud” segment — specialized infrastructure providers focused almost exclusively on AI workloads.

The relationship between the two companies runs deep. Nvidia was already one of CoreWeave’s largest backers prior to Monday’s announcement. In September, CoreWeave disclosed a $6.3 billion order from Nvidia, which includes a commitment by Nvidia to purchase any unsold capacity through April 2032.

CoreWeave went public on the Nasdaq in March and has raised billions in both debt and equity to finance its rapid expansion. The aggressive growth strategy has sparked investor debate, with some expressing concern about leverage levels tied to multibillion-dollar infrastructure commitments.

Still, demand signals remain strong. CoreWeave has struck a series of massive deals, including a $14.2 billion AI infrastructure agreement with Meta and an expanded $22.4 billion contract with OpenAI, reflecting how hyperscalers and AI labs are racing to secure long-term compute supply.

“We’re still in the early innings of the AI infrastructure buildout,” Huang said. “Demand is extraordinary.”

Intrator echoed that view, describing the current moment as the foundational phase of a multi-decade shift. “This is base-load infrastructure being built at a pace that historically wasn’t even imaginable,” he said. “AI will be embedded into almost everything we do, and this infrastructure will continue paying dividends for decades.”

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