The potential agreement comes as major tech companies face ongoing challenges in obtaining sufficient AI chip supplies. CoreWeave’s strong relationship with NVIDIA and its swift deployment of AI-focused data centres has attracted significant attention from leading tech firms, including OpenAI and Meta Platforms, the report said.
CoreWeave’s stock showed positive movement on Wednesday, climbing 14% to trade above $60. This marks a substantial recovery from its initial public offering price of $40 last week. The company’s shares strengthened despite earlier reports that Microsoft, its largest customer, might end data centre leases in the US and Europe. Sources say Google may acquire some of this vacant capacity.
The AI sector continues to experience significant supply constraints. Both xAI and OpenAI have recently stated their need for additional GPU resources. The shortage of NVIDIA GPUs remains a critical issue as companies compete to acquire computing power for their AI operations.
The proposed arrangement between Google and CoreWeave represents a strategic move in the increasingly competitive market for AI computing resources. As demand continues to exceed supply, such partnerships become crucial for companies seeking to maintain their AI development capabilities.
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