NVIDIA Tops CoreWeave Stake with $2 Billion

NVIDIA has increased its investment in neocloud CoreWeave to accelerate the production of 5 GW of NVIDIA-powered AI factories by 2030. It's an arrangement that puts CoreWeave in NVIDIA's power while trusting it to deliver against an ambitious agenda.

NVIDIA has invested $2 billion in CoreWeave Class A common stock at a purchase price of $87.20 per share. This nearly doubles NVIDIA’s stake in CoreWeave, which was about 6.3% and is now 11.5%, according to an SEC filing today.

The deal makes CoreWeave even more dependent on NVIDIA than it’s been. In its last quarterly filing with the SEC, CoreWeave reported that its customers contractually require it to use NVIDIA GPUs. Now, CoreWeave has committed to massive datacenter buildouts based on NVIDIA gear. This is both a liability in relying on a single vendor as well as a boon to the neocloud because that vendor is NVIDIA.

What NVIDIA’s Doing for CoreWeave

NVIDIA for its part will leverage its financial standing to enable CoreWeave to obtain land, power, and other resources for its AI factories. This could be crucial. CoreWeave has taken on substantial debt in its race to build out infrastructure. On September 30, 2025, the company posted total debt of $14 billion, up from $8 billion at the close of 2024. Despite news that Donald Trump included CoreWeave debt in a 2025 purchase of corporate and municipal bonds, stock volatility shows investors are concerned about CoreWeave's prospects, given its voracious appetite for infrastructure. NVIDIA's sponsorship could certainly boost CoreWeave's prospects when it comes to obtaining more capital.

NVIDIA will also serve CoreWeave early versions of its Rubin GPUs, standalone Vera CPUs (that last signaling competition for AMD and Intel), as well as its new BlueField-4 DPUs, which are equipped with a feature called the Inference Context Memory Storage Platform. In this approach, key value caching is shared with the DPU to shorten context windows, and only the most important tokens are processed by high-bandwidth memory in the GPU. Among the storage vendors developing products with BlueField-4 are AIC, Cloudian, DDN, Dell Technologies, HPE, Hitachi Vantara, IBM, Nutanix, Pure Storage, Supermicro, VAST Data, and WEKA, according to NVIDIA.

NVIDIA also plans to use its technologies to test key CoreWeave capabilities, such as SUNK (Slurm on Kubernetes), which provides Linux-compatible job scheduling in Kubernetes, saving the need to use clusters, as well as CoreWeave Mission Control, which combines operations management with security and observability of cloud processes. The goal of the testing will be to incorporate CoreWeave features into NVIDIA reference architectures usable by customers and other vendors.

Another Circular Deal?

The new NVIDIA/CoreWeave deal prompts questions about its circular nature: NVIDIA provides infrastructure, CoreWeave in turn delivers AI factories for NVIDIA’s consumption. Both are customers of each other. At the same time, CoreWeave’s options are limited by its dependence on NVIDIA, albeit that dependence is on the biggest AI chip maker.

In an interview with Bloomberg, NVIDIA CEO Jensen Huang decried these kinds of accusations about circularity as “ridiculous.” NVIDIA’s investment represents just a small portion of what CoreWeave’s going to need in the future, Huang said, so concerns about circularity are irrelevant, supposedly since there will be many other contributors.

Still, 5 GW of AI factory infrastructure is massive, and 2030 is an extremely optimistic target date for completion. In the U.S. especially, datacenter buildouts face multiple hurdles, including community resistance, regulatory issues, and a lack of adequate power to fuel the planned facilities.

Whether NVIDIA throwing its weight behind the leading neocloud will speed things along is a question; not all the challenges facing both vendors can be solved by throwing money at them.

Futuriom Take: NVIDIA’s $2 billion investment in CoreWeave will help NVIDIA grow some much-needed infrastructure, but it’s a circular deal that locks CoreWeave even more tightly into NVIDIA’s agenda. And it pressures CoreWeave to produce the infrastructure NVIDIA needs on a tight schedule with many challenges.