In another chess move with Microsoft, Openai behaves to $ 12 billion in Coreweave

In the chess step at GrandMaster level, Openai Five years agreement, 11.9 billion dollars With the GPU-Heavy Cloud Coreweave service provider, according to Reuters, who cites people close to the deal.

The sources told Reuters that the deal includes Openai’s ownership rights of $ 350 million in Coreweave. It is said that the private position is separate from Coreweave’s planned public subscription.

Coreave applied to become a public company last week, but it has not yet been determined or set the date for her first appearance.

It is a victory for both companies. One of the reasons why this agreement is very suspended (along with the relevant billions) is that before this deal, the largest Coreave customer was Microsoft. In fact, in 2024, Microsoft accounted for 62 % of Coreave’s revenues, which grew to $ 1.9 billion – an increase of approximately eight times from $ 228.9 million in 2023.

Supported by NVIDIA, which has a 6 % stake, Coreweave manages a special cloud service with artificial intelligence with a network of 32 data centers that manage more than 250,000 NVIDIA graphics processing units as of the end of 2024, according to the company. Since then, Coreweave has added more graphics processing units, including the latest NVIDIA, Blackweell products, which support artificial intelligence thinking.

This dependence on one customer is usually disturbing for investors, public subscription, and “Poetry”, as they say, says Coreave’s hopes to raise $ 4 billion or more in public subscription. Landing Openai, as a direct client in a bill of dollars, will help Coreave investors.

Microsoft and Openai

What makes this step interestingly interesting is that it is another step in the relationship of deterioration and contamination between Microsoft and Openai.

It seems as if the CEO of Openai watched the use of Microsoft to use Microsoft for Coreave and said: “Hold a beer.”

Openai will not only reach the same cloud, but will also have a royal share in the company that runs it.

Microsoft, of course, is a great supporter of Openai in a deal Microsoft is authorized to collect part From Openai’s revenue. But the tensions between two companies were rising for years, as Openai’s fortunes rose. Openai competes with Microsoft for Enterprise customers, which is even According to what was reported to publish the price agents of artificial intelligence.

In January, as part of the Stargate AI’s huge infrastructure with SoftBank, Oracle and others, Microsoft stopped Openai’s The only cloud provider. Openai needs more account resources. Only last week, altman He complained that Openai is “graphics processing units”.

For its part, Microsoft works on its “logic” models of artificial intelligence similar to Openai O1 and O3-Mini. It develops a full family of its own models called Mai, which is competitive with Openai. also I rented the rival of Al -Taman, Mustafa SuleimanTo lead Microsoft AI.

But Coreove is a sudden chess piece.

Coreove started her life as a coding mining process, founded by the youth of the previous hedge funds, He said. The three founders have already spent $ 488 million-more than $ 150 million each. Coreave also has $ 7.9 billion of debt on books.

If the public subscription generates billions of new capital that they hope for, the company says it will use at least some to pay debts.

While these founders were literally trying to use graphics processing units for money technology, they seem to accomplish them metaphorically.

Coreove and Openai did not respond to our request for comment.