By Adam Levy
Publication Date: 2026-02-01 17:00:00
Key Points
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Nvidia has invested another $2 billion into CoreWeave, putting its stake at 11.5%.
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Nvidia is a key partner for CoreWeave, giving it access to its chips.
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CoreWeave is growing its customer contracts quickly, but investors can’t ignore some key details.
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Nvidia (NASDAQ: NVDA) has become a cash-generating machine. As demand for its GPUs soars amid the AI boom, its free cash flow has climbed to $77 billion over the last 12 months. It recently put $2 billion of that cash to work, adding to its investment in CoreWeave (NASDAQ: CRWV). The chipmaker now owns 11.5% of the company.
CoreWeave is a “neocloud” company, specializing in data centers designed for AI training and inference. It builds data centers and rents them out to big tech companies, including Microsoft, Meta, and one of its biggest investors, Nvidia. The news of Nvidia’s increased stake in the business sent CoreWeave shares higher, so investors may be wondering whether they should follow suit after the big move.
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Image source: Getty Images.
Close ties with the AI leader
CoreWeave’s tight relationship with Nvidia puts it in an excellent position to serve its customers. It has ample access to Nvidia’s powerful GPUs, and the new deal with Nvidia ensures it’ll be able to build new cloud…
