AI startup CoreWeave, backed by Nvidia (NVDA, Financial), just locked in a massive $11.9 billion, five-year deal with OpenAI to supply AI infrastructure. The timing couldn't be better—CoreWeave is prepping for its IPO, which is shaping up to be one of 2025's biggest tech listings.
As part of the agreement, OpenAI, which is backed by Microsoft (MSFT, Financial), will grab a stake in CoreWeave by investing $350 million through a private placement during the IPO.
For OpenAI, this move expands its computing power for training and deploying AI models while giving it more options beyond Microsoft's cloud services.
“CoreWeave is an important addition to OpenAI's infrastructure portfolio, complementing our commercial deals with Microsoft and Oracle, and our joint venture with SoftBank (SFTBY, Financial) on Stargate,” said OpenAI CEO Sam Altman.
With AI infrastructure demand booming, this deal gives CoreWeave a serious boost as it heads toward the public markets while strengthening OpenAI's growing network of tech partners.
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