CoreWeave says Nvidia has its back on data center financing

"In addition to continuing to procure our own capacity, CoreWeave will selectively partner with NVIDIA and leverage NVIDIA's financial strength to accelerate our procurement of land, power, shell, to try to better keep pace with demand. This could take several forms like credit enhancement, joint developments, etc., but will be determined based on the specific opportunity at that point in time."

"The guarantee of lease payments would be another major line of financial support from Nvidia to help CoreWeave manage the immense costs of building artificial intelligence infrastructure. The chipmaking giant has also purchased billions of dollars of CoreWeave shares and, last year, agreed to buy up to $6.3 billion of CoreWeave computing capacity if CoreWeave is unable to sell it to clients."

Nvidia is providing multiple forms of financial support to CoreWeave to accelerate its data center buildout for AI computing infrastructure. Beyond guaranteeing lease payments to help secure construction financing, Nvidia has purchased $2 billion in CoreWeave stock and committed to buying up to $6.3 billion of computing capacity if CoreWeave cannot sell it to clients. CoreWeave's leadership indicated this arrangement resembles Google's recent guarantee to a partner for data center financing. The financial support takes various forms including credit enhancement and joint development opportunities, though CoreWeave emphasizes this represents selective partnership rather than its primary infrastructure procurement mechanism.

Read at Business Insider