CoreWeave Sees Major Growth, First to Launch Nvidia’s New AI Chip

NEW YORK, NY — CoreWeave has made a significant mark in the stock market after its debut just three months ago, climbing nearly 280% from its IPO price. As reported on July 3, 2025, the market cap of CoreWeave stands at $79 billion, with shares currently priced at $165.69, following a notable 9.17% increase.

Investors are enthusiastic about CoreWeave’s rapid growth, driven by unprecedented demand for its AI-powered cloud services. The company rents out compute power using Nvidia‘s graphics processing units (GPUs), which are essential for AI functions like model training and inference. CoreWeave’s massive fleet consists of over 250,000 GPUs across approximately 32 data centers, allowing flexible rental options for customers.

This burgeoning relationship with Nvidia is crucial; the chipmaker holds a 7% stake in CoreWeave, signaling its confidence in the company’s potential. CoreWeave recently announced an exciting milestone, becoming the first company to make Nvidia’s latest chip, the Blackwell Ultra, commercially available. This chip, part of the Nvidia GB300 NVL72 system created by Dell, offers 1.5 times the AI performance compared to its predecessor.

CEO Michael Intrator highlighted the company’s impressive growth in their most recent earnings report, revealing a staggering 400% increase in quarterly revenue, attributed in part to a $11.9 billion deal with OpenAI. Furthermore, with the steady expansion of data center capacity, from 420 megawatts to 1.6 gigawatts projected, CoreWeave is poised to meet the soaring demand in the AI industry.

Despite the optimistic outlook, potential investors should proceed with caution. Industry analysts note that CoreWeave’s current sales multiple is significantly higher than the average in the tech sector, suggesting that its costs are elevated as it invests heavily in infrastructure. Aggressive investors with a long-term horizon may find buying into CoreWeave worthwhile if they can navigate the risks involved.

As the AI market continues to evolve, CoreWeave’s ability to maintain its growth trajectory will be critical in determining investment success. Those interested should consider the ongoing developments closely before making any decisions.