> September 2025 – Nvidia signed a deal with CoreWeave to buy back its unused GPU capacity for $6.3 bln. This will purportedly allow CRWV's fleet to remain operational during periods of fluctuating demand. We believe this wording suggests that Nvidia could possibly mask any decline in demand for AI capacity within its business. Interestingly, Nvidia is one of CoreWeave's largest investors.
Does anyone understand this deal? Why would Nvidia ever buy back GPU capacity when Coreweave’s entire reason for existence is to rent GPU capacity to other people?
Does anyone understand this deal? Why would Nvidia ever buy back GPU capacity when Coreweave’s entire reason for existence is to rent GPU capacity to other people?