Once an Ethereum mining operation, CoreWeave is now a major AI data center provider. They recently made headlines by announcing an all-stock agreement to acquire Core Scientific for roughly $9 billion. This acquisition provides CoreWeave with near instant access to scale and predicated power. It further cements the company’s hand in the rapidly growing AI infrastructure market.

The deal represents the biggest step yet for each company. Having first launched as a bitcoin mining company, Core Scientific was restructured out of bankruptcy in 2022. Today, it has successfully remade itself by doubling down on its massive investment in data center infrastructure. This would not be CoreWeave’s first major acquisition attempt, as the company tried and failed to purchase high-density computing company Core Scientific last year for about $1 billion.

CoreWeave bolts on its leading position with acquisition of Core Scientific’s Patented Massive Power. This is the equivalent of 1.3 gigawatts of existing power, with the potential to bring an additional 1 gigawatt or more online. This sprawl of infrastructure includes data centers in Alabama, Georgia, Kentucky, North Carolina, North Dakota, Oklahoma, and Texas.

The deal is significant for another reason. It underscores the growing demand for data centers that can handle AI workloads. Businesses such as Crusoe, which began as a bitcoin mining company itself, are pivoting to serve this new and rapidly expanding market.

CoreWeave's expansion strategy extends beyond this acquisition. One slide from an investor presentation from the company even included a computer rendering of a new project by their subsidiary Fermi America.

Fermi America, co-founded by Rick Perry, has a project referred to as either the "Amarillo Hypergrid" or the "Donald J. Trump Advanced Energy and Intelligence Campus". This campus, situated southeast of Amarillo, Texas, will be home to 11 GW—yes, gigawatts—of energy infrastructure. Unlike the current 2023 study, it will focus heavily on solar, gas, and nuclear, mainly behind-the-meter.

With the acquisition of CoreScientific, CoreWeave establishes an important competitive edge in the rapidly evolving AI infrastructure space. The company secures an established network of data centers and a significant power capacity to meet the intensive demands of AI computations.

"The Mount Rushmore of data centers, if you will." - Scott Clavenna

This addition immediately accelerates CoreWeave to one of the largest players in the AI-specific data center industry. Today, the firm is uniquely positioned to serve the growing need for high-performance computing resources. This is a great representation of the shift occurring in the data center world. Business is already at work pivoting to serve the changing requirements posed by AI and other frontier technologies.