Nvidia-backed CoreWeave plans $4 billion IPO: the next big test for artificial intelligence? Amid growing demand for cloud-based artificial intelligence, Nvidia-backed CoreWeave is planning a $4 billion IPO, aiming for a $35 billion valuation.
Microsoft's changing data center strategy raises questions as CoreWeave prepares for one of its biggest IPOs in 2024. Questions arise as it prepares.
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IPO Nvidia Corp NVDA-backed cloud computing firm Coreweave nears.
raising $4 billion at a valuation of more than $35 billion.
Coreweave could file for a U. S. listing within a week, Bloomberg reports, setting the stage for the most anticipated debut of the year.
Coreweave initially focused on
#cryptocurrency #mining , but switched to artificial intelligence in 2019 and hasn't backed off so far.
the company was an early and aggressive buyer of NVIDIA's NVDA GPUs and has now amassed a staggering 300,000 chips that are the basis for training artificial intelligence models around the world.
This strategic bet has paid off, and the company's revenue
This strategic bet has paid off, with revenue jumping from $25 million in 2022 to $2 billion in 2024.
Wall Street's new favorite?
According to the Financial Times, Morgan Stanley, Goldman Sachs and JP Morgan will lead the IPO.
Investor appetite is already being tested. While the company has strong backers such as Nvidia, Coatue, Jane Street and
#Fidelity , it also has significant debt of $11 billion, much of which is backed by Nvidia chips.
Coreweave's largest customer, Microsoft (MSFT), has promised an IPO. Microsoft (MSFT), has pledged to invest more than 10 billion U. S. dollars by 2030, but Microsoft's artificial intelligence infrastructure strategy is undergoing changes.
After reports of the data center contract termination, investors are wondering if Coreweave will be able to sustain rapid growth.
With demand for AI on the rise, Coreweave's IPO is a litmus test for the market.
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