Cloud provider CoreWeave to invest $2.2 bln in Europe

Specialized cloud provider CoreWeave said on Wednesday that it plans to invest an additional $2.2 billion in Europe to meet rising demand for artificial intelligence infrastructure, bringing its total investment in the region to $3.5 billion.

The Nvidia-backed company plans to build three new data centers, each in Norway, Sweden and Spain by the end of 2025, it said. The investment is in addition to CoreWeave’s $1.3 billion investment in the UK, where it has two data centers.

CoreWeave has benefited from businesses rapidly adopting generative AI technology. The company has access to the most advanced Nvidia chips that are in short supply, giving it an edge over hyperscalers such as Amazon Web Services, Microsoft’s Azure and Google Cloud.

Last month, CoreWeave said it was raising $7.5 billion in debt from investors led by Blackstone and Magnetar Capital to scale up its AI infrastructure to meet surging workloads. In the same month, the company was valued at $19 billion after a Series C funding round.

CoreWeave signed a series of 12-year contracts with bitcoin miner Core Scientific on Monday, which is expected to generate total cumulative revenue of more than $3.5 billion for the latter. CoreWeave made an all-cash bid to buy Core Scientific for $5.75 share on Tuesday, according to Bloomberg News, sending the latter’s shares up by 33%.