AI startup CoreWeave, previously engaged in cryptocurrency mining, has signed a partnership agreement with OpenAI worth up to $11.9 billion.
The deal involves providing Sam Altman’s firm with infrastructure for training new AI models. OpenAI will become an investor in CoreWeave, which plans a $350 million stock offering.
“The collaboration with OpenAI under the new contract underscores CoreWeave’s proven ability to deliver reliable and high-performance infrastructure services, enabling AI innovation for the world’s leading labs,” commented CoreWeave co-founder Michael Intrator.
CoreWeave offers a cloud platform for intensive computational workloads. The company aims to raise $4 billion through an IPO with a valuation of $35 billion. It has previously filed the corresponding S-1 registration statement with the SEC.
During the IPO, Class A shares are to be listed on Nasdaq under the ticker CRWV. The proceeds will be used for working capital, corporate expenses, debt repayment, and potential acquisitions.
Before Ethereum’s transition to the PoS consensus algorithm, mining constituted a significant part of CoreWeave’s business—61% or $9.7 million of its $15.8 million annual revenue. Following the update of the second-largest cryptocurrency by market cap, the firm shifted its focus to artificial intelligence. Its annual revenue grew to $229 million in 2023 and $1.9 billion in 2024.
Earlier in June, mining company Core Scientific signed a 12-year contract with AI firm CoreWeave to provide infrastructure with a capacity of 200 MW for hosting Nvidia graphics processors.