Nvidia-backed AI cloud provider CoreWeave has signed a $4 billion agreement with OpenAI, the creator of ChatGPT, to provide cloud computing services until April 2029.
This deal expands an existing partnership, building on a $11.9 billion five-year contract signed in March 2025, which also gave OpenAI an equity stake in CoreWeave. The latest commitment, revealed in a post-earnings call on Wednesday, was initially described as an expansion with an unnamed AI enterprise, now confirmed as OpenAI.
As per the reports, CoreWeave’s stock experienced volatility, increasing by approximately 3% on Thursday following the announcement; however, investors remain concerned about the company’s substantial capital expenditure plan for 2025, which is estimated to be between $20 billion and $23 billion.
CoreWeave expects to earn $4.9 billion to $5.1 billion this year, which is more than the $4.61 billion that Wall Street had predicted. The $4 billion deal with OpenAI adds to their $29.9 billion in future revenue. CoreWeave is becoming a big name in AI cloud services, working with companies like Microsoft and Nvidia.
However, some experts are concerned about the situation. They are emphasizing that the CoreWeave might struggle with cash flow and it has a lot of debts. Still, the focus on AI cloud solutions makes them important in the fast-growing AI industry.
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