Nvidia-backed CoreWeave has announced it will acquire Core Scientific, a leading U.S. cryptocurrency miner, in an all-stock deal valued at approximately $9 billion. The move reflects the growing urgency among artificial intelligence (AI) infrastructure providers to acquire power-rich data centre assets amid soaring demand for compute-intensive AI workloads.
Why CoreWeave Is Buying Core Scientific
The acquisition, which offers Core Scientific shareholders a $20.40 per share value—a 66% premium to the stock’s last closing price before acquisition rumours surfaced—will allow CoreWeave to immediately eliminate over $10 billion in future lease liabilities across contracted sites over the next 12 years. “AI workloads are power-hungry, and we need long-term energy access. This deal provides exactly that,” said a CoreWeave spokesperson.
AI Firms Eye Bitcoin Mining Infrastructure
The deal underscores a major industry trend: AI companies are repurposing bitcoin mining infrastructure—originally built for crypto operations—for high-performance computing (HPC) and AI training. Bitcoin miners, such as Core Scientific, own massive data centre campuses with substantial power contracts, making them attractive targets for AI firms like CoreWeave.
Stock Market Reaction
Following the announcement:
- Core Scientific shares fell 15% in premarket trading.
- CoreWeave shares slipped 4%, reflecting investor uncertainty ahead of final pricing in Q4 2025.
CoreWeave’s Meteoric Rise
Originally launched in 2017 as an Ethereum mining startup, CoreWeave pivoted to AI infrastructure following Ethereum’s 2022 “Merge” upgrade, which dramatically reduced mining incentives. The company has since seen explosive revenue growth, with earnings growing 8x in 2024, according to its IPO prospectus.
CoreWeave is now positioning itself as a key player in the AI infrastructure space, fueled by demand from clients building and training large language models (LLMs) and other generative AI technologies.
A Second Chance for Core Scientific
The deal marks a major turnaround for Core Scientific, which filed for bankruptcy in December 2022 amid collapsing bitcoin prices and rising energy costs. The company exited bankruptcy in early 2024 and has since entered multiple 12-year contracts with CoreWeave, including a deal to supply 200 megawatts (MW) of data centre infrastructure to power CoreWeave’s AI operations.
Interestingly, Core Scientific had rejected an earlier proposal from CoreWeave in June 2024, stating that the offer “significantly undervalued the company.” The revised $9 billion deal appears to reflect new terms acceptable to both parties.
Deal Timeline & What’s Next
- Deal Type: All-stock acquisition
- Deal Value: ~$9 billion
- Per Share Offer: $20.40 (66% premium)
- Closing Date: Expected Q4 2025
- Final Price: Subject to adjustments and conditions at close
Both companies anticipate completing the transaction by the end of 2025, pending shareholder and regulatory approvals.
Key Highlights:
- CoreWeave is acquiring Core Scientific in a $9B all-stock deal.
- The move gives CoreWeave access to vast energy infrastructure critical for AI data centres.
- Core Scientific exited bankruptcy in early 2024 and already powers ~200 MW of CoreWeave’s AI operations.
- The acquisition reflects a broader trend of AI firms repurposing crypto mining infrastructure to meet growing power needs.
- CoreWeave’s revenue surged 8x last year, signalling explosive demand in AI computing.
