financetom
Business
financetom
/
Business
/
Exclusive-CoreWeave expands OpenAI pact with new $6.5 billion contract
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
Exclusive-CoreWeave expands OpenAI pact with new $6.5 billion contract
Sep 25, 2025 6:08 AM

(Reuters) -AI cloud provider CoreWeave ( CRWV ) has expanded its partnership with OpenAI in a new deal worth up to $6.5 billion, bringing the total value of their agreements to $22.4 billion, the latest in a series of billion-dollar deals OpenAI has signed to secure computational power.

The agreement marks the third major expansion of the partnership between the two companies this year. The company behind ChatGPT struck an initial cloud deal with CoreWeave ( CRWV ) in March worth up to $11.9 billion, followed by a $4 billion add-on in May. The latest addition shows the deepening relationship between the two companies as OpenAI seeks multiple partners to help with an unprecedented datacenter buildout to meet its growing computational demands.

The announcement follows major updates to OpenAI's infrastructure project "Stargate". OpenAI said Tuesday it will open three new sites with Oracle, its cloud partner with a $300 billion deal over the next few years, and build two additional data centers with SoftBank.

"The combined capacity from these five new sites-along with our flagship site in Abilene, Texas, and ongoing projects with CoreWeave ( CRWV )-brings Stargate to nearly 7 gigawatts of planned capacity and over $400 billion in investment over the next three years," OpenAI said in a blog post.

OpenAI has said Stargate aims to secure a total of 10 gigawatts of capacity through an investment that could reach $500 billion.

The wave of agreements underscores the convergence of interests among major tech companies developing advanced AI and raises questions about "circular" financing across the industry and whether capital will continue to flow. 

Nvidia ( NVDA ) said earlier this week it will invest up to $100 billion in OpenAI and supply data-center chips, marking a tie-up between two of the highest-profile players in the AI race. 

The Nvidia ( NVDA ) and OpenAI deal gives the chipmaker a financial stake in one of its biggest customers and has prompted antitrust concerns. 

Nvidia ( NVDA ) has also invested in CoreWeave ( CRWV ) and owns more than 5% of the company. CoreWeave ( CRWV ), in turn, made substantial purchases of Nvidia ( NVDA ) hardware and signed a $6.3 billion initial order with Nvidia ( NVDA ) this month, in a deal that guarantees the chipmaker will purchase any cloud capacity not sold to customers.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Enbridge to go ahead with Algonquin gas transmission pipeline project
Enbridge to go ahead with Algonquin gas transmission pipeline project
Sep 2, 2025
Sept 2 (Reuters) - Enbridge ( ENB ) said on Tuesday it has reached a final investment decision to go ahead with Algonquin gas transmission pipeline to capitalize on the growing natural gas demand. ...
Market Chatter: Amazon's $1.31 Billion Antitrust Fine in Italy Ordered Reduced
Market Chatter: Amazon's $1.31 Billion Antitrust Fine in Italy Ordered Reduced
Sep 2, 2025
07:08 AM EDT, 09/02/2025 (MT Newswires) -- Amazon.com's ( AMZN ) 1.13 billion euro ($1.31 billion) fine for alleged antitrust violations has been reduced by an Italian administrative court, Reuters reported Tuesday, citing a court document. The online retailer was fined by Italy's competition authority for allegedly abusing its dominant position in e-commerce logistics services in a ruling that was...
Organon, Henlius Says US FDA Approves Denosumab Biosimilars
Organon, Henlius Says US FDA Approves Denosumab Biosimilars
Sep 2, 2025
07:07 AM EDT, 09/02/2025 (MT Newswires) -- Organon (OGN) and Shanghai Henlius Biotech said Tuesday the US Food and Drug Administration has approved Bildyos 60 mg/mL injection and Bilprevda 120 mg/1.7 mL injection, denosumab biosimilars to Prolia and Xgeva used in the prevention of skeletal-related events in certain cancer patients. The companies said the approvals cover all indications of the...
Intel Amends Funding Agreement With US Department of Commerce
Intel Amends Funding Agreement With US Department of Commerce
Sep 2, 2025
07:08 AM EDT, 09/02/2025 (MT Newswires) -- Intel ( INTC ) said late Friday that it has amended its Direct Funding Agreement with the US Department of Commerce to remove several project milestones, and received the full $5.70 billion in accelerated disbursements. The company said the amendment removed prior project milestone requirements, workforce policy mandates, and most other restrictions from...
Copyright 2023-2026 - www.financetom.com All Rights Reserved