Data center builder CoreWeave signs $4B deal with OpenAI

Nvidia-backed CoreWeave has signed an additional agreement with OpenAI under which the ChatGPT maker has committed to pay CoreWeave up to USD 4 billion through April 2029, according to a Reuters report that citied a regulatory filing.

Meanwhile, CoreWeave said it is looking to spend USD 20 billion to USD 23 billion this year on AI infrastructure and data center capacity, amid booming demand from clients.  

CoreWeave, a renter of AI servers, had earlier said it had signed a USD 4 billion expansion with an AI enterprise without naming the company.

This new agreement builds on a USD 12 billion collaboration between the two companies which was disclosed in March that also gave OpenAI a substantial equity stake.

CoreWeave maintains that financing remains strong and the company continues to be able to repay lenders within the term of the contracts. 

“They look at the contracts, they understand the contracts, they understand our business, and they continue to lend us money so that we can scale and deliver,” CoreWeave CEO Michael Intrator told CNBC.

CoreWeave has accrued major technology clients such as Microsoft and Nvidia, and said it recently inked a deal with another hyperscaler, the CNBC report said.

A filing with the US Securities and Exchange Commission shows that Microsoft was one of CoreWeave’s top two customers in 2024.

“(Our clients) are looking for really significant investment from us, and we’re trying to make sure that we’re doing it in a way that doesn’t in any way impact our ability to secure the margins that we need in order to run our business,” CEO Intrator was quoted as saying by Reuters.