Artificial intelligence-focused cloud infrastructure firm CoreWeave has announced its plan to acquire Core Scientific, a data center infrastructure provider, in an all-stock deal valued at around $9 billion. The acquisition, expected to close in Q4 2025 pending regulatory and shareholder approval, marks a significant expansion for CoreWeave.
Although both companies’ stocks dropped after the announcement—CoreWeave by 3% and Core Scientific by nearly 18%—they had rallied previously on rumors of a potential deal. This acquisition will bolster CoreWeave’s physical infrastructure and access to data center capacity critical to its AI-driven operations.
CoreWeave Gains Infrastructure Control, Cuts Costs, and Transitions Crypto Sites to AI
CoreWeave anticipates substantial operational and financial advantages from the deal. The company expects to eliminate $10 billion in future lease obligations, as it transitions from renting data center space to owning it. CEO Mike Intrator emphasized that owning infrastructure rather than leasing will reduce long-term costs and enhance efficiency.
CoreWeave will gain control of 1.3 gigawatts of gross capacity from Core Scientific’s U.S. data centers, with an additional gigawatt available for expansion. Currently, 840 megawatts are already allocated to CoreWeave contracts across five locations.
CoreWeave Acquires Core Scientific in $9B Deal to Repurpose Crypto Sites for AI ExpansionA critical aspect of the acquisition is CoreWeave’s option to divest or repurpose Core Scientific’s cryptocurrency mining business, which made up 89% of Core Scientific’s Q1 revenue. CoreWeave plans to convert the infrastructure to support AI workloads, a process it is already undertaking with partners like Galaxy Digital.
According to Intrator, these conversions are more cost-effective than building new AI centers from scratch. The transition reflects Core Scientific’s own strategic shift toward high-performance computing since its 2024 bankruptcy emergence and relisting on Nasdaq.
Strategic Deal Enhances CoreWeave’s Financial Agility and Investor-Driven Growth Opportunities
The acquisition could improve CoreWeave’s financial flexibility. CFO Nitin Agrawal noted that the company will be better positioned to attract infrastructure-focused investments with potentially lower capital costs. As of March 2025, CoreWeave’s weighted average interest rate on short-term debt was 10.1%.
Now a public company with nearly $1 billion in quarterly revenue, CoreWeave’s growing investor base enables it to scale infrastructure both independently and through acquisitions, mimicking the dual approach used by hyperscalers like Amazon Web Services.
Under the terms of the agreement, Core Scientific shareholders will receive 0.1235 CoreWeave shares per share, representing a 66% premium over Core Scientific’s pre-deal stock price and valuing their shares at $20.40 each. Once the deal is finalized, Core Scientific shareholders will hold less than 10% of the merged entity.
Although the two companies have partnered since 2018, this acquisition follows a previously rejected offer by CoreWeave last year. Now, with public backing and strategic momentum, the companies are uniting to compete more aggressively in the AI infrastructure space.
