CoreWeave, Inc.

CoreWeave operates as "The Essential Cloud for AI," a platform purpose-built to accelerate breakthroughs for AI pioneers, including leading research labs and enterprises. The company's core business model revolves around providing high-performance computing infrastructure and managed cloud services, optimized for AI workloads such as large-scale model training, inference, data movement, continuous iteration, and agentic workflows. Revenue is primarily generated through multi-year committed contracts on a take-or-pay basis, where customers purchase a specified amount of capacity, supplemented by on-demand access via a pay-as-you-go model. As of December 31, 2025, committed contracts accounted for over 98% of the company's revenue ¹⁰², indicating a strong recurring revenue component. The company serves a diverse range of customers, including leading enterprises, AI labs, and technology companies deploying AI at scale.

The CoreWeave Cloud Platform integrates proprietary software and orchestration, advanced infrastructure, and managed cloud services within a highly secure environment. Key product offerings include a Networking Backbone designed for ultra-low latency and high-throughput AI workloads, Foundational Infrastructure maximizing performance with first-to-market GPU clusters and high-speed interconnects, and Data and Storage solutions combining exascale, AI-optimized object and file storage with GPU-local caching and Local Tier Acceleration (LOTA™). Infrastructure Control is provided through CoreWeave Kubernetes Service (CKS) for managing large GPU clusters, and CoreWeave Mission Control™ offers intelligent, unified orchestration, security, and observability. Runtime Acceleration services optimize workload latency and throughput, while Model and Agent Development tools, including Weights & Biases®, Marimo, and OpenPipe, support the full lifecycle of AI development.

For the fiscal year ended December 31, 2025, CoreWeave reported total revenue of $5.131 billion ¹⁰⁰. Cost of revenue was $1.453 billion ¹⁰³, resulting in a gross margin of approximately 71.6% (calculated as ($5.131 billion - $1.453 billion) / $5.131 billion). Operating expenses totaled $5.177 billion ¹⁰⁶, leading to an operating loss of $46 million ¹⁰⁷. The company incurred a net loss of $1.167 billion ¹¹⁰ for the year, with a diluted EPS of $(2.81) ¹¹³. Net cash provided by operating activities was $3.058 billion ¹¹⁴. As of December 31, 2025, cash and cash equivalents stood at $3.127 billion ¹¹⁵, and total debt was $21.6 billion ⁶⁰.

Comparing fiscal year 2025 to 2024, revenue increased by $3.216 billion ¹⁰¹, or 168% ¹⁰¹, from $1.915 billion ¹⁰⁰. This growth was primarily driven by increased demand from existing and new customer contracts, with approximately 85% of the increase attributable to expansion within the existing customer base ⁷⁰. Cost of revenue increased by $960 million ¹⁰⁴, or 195% ¹⁰⁴, to $1.453 billion ¹⁰³, outpacing revenue growth and causing cost of revenue as a percentage of revenue to increase from 26% ¹⁰⁵ in 2024 to 28% ¹⁰⁵ in 2025. Technology and infrastructure expense rose by $1.968 billion ¹⁰⁵, or 205% ¹⁰⁵, to $2.929 billion ¹⁰⁵, primarily due to a $1.5 billion ⁷¹ increase in depreciation and amortization. Sales and marketing expense increased by $126 million ⁷¹, or 700% ⁷¹, to $144 million ⁷¹, while general and administrative expense grew by $532 million ⁷¹, or 447% ⁷¹, to $651 million ⁷¹. The net loss widened from $863 million ¹¹⁰ in 2024 to $1.167 billion ¹¹⁰ in 2025.

Operationally, CoreWeave significantly expanded its data center footprint, growing from 32 data centers with approximately 360 MW of active power as of December 31, 2024 ⁵, to 43 data centers with over 850 MW of active power as of December 31, 2025 ⁵. Total contracted power capacity reached approximately 3.1 GW ⁵ by the end of 2025. The company completed its initial public offering (IPO) in March 2025, issuing 36,590,000 shares of Class A common stock at $40.00 per share ⁷⁶, generating net proceeds of $1.4 billion ⁷⁶. In April 2025, an additional 1,760,000 shares were sold through an over-allotment option, yielding $68 million ⁷⁶ in net proceeds. Significant acquisitions in 2025 included Weights & Biases (May 2025), OpenPipe (September 2025), Marimo (October 2025), and Monolith (November 2025), all aimed at enhancing model and agent development capabilities. The company also entered into a master services agreement with OpenAI in May 2025, committing up to approximately $6.5 billion ¹⁹ through May 31, 2031, and an order form with Meta Platforms, Inc. in September 2025, committing up to approximately $14.2 billion ¹⁹ through December 2031.

Management anticipates continued significant investments in infrastructure and go-to-market capabilities to maintain leadership and capitalize on the AI revolution, expecting future investments to require substantial debt and/or equity financing ⁷⁵. The company expects its cost of capital to continue decreasing as it benefits from economies of scale and accesses new forms of financing, including asset-backed securitizations and rated parent-level debt ⁶⁹.

A major growth area for CoreWeave is the continued adoption of AI in society, with the company believing AI is still in its early stages of commercialization and that demand for model training and inference will continue to scale ⁶⁶. This growth is expected to be driven by organizations embracing new AI use cases, improvements in chip technology, and the increasing volume of data available for training models ⁶⁶. The company plans to continue building out its access to power capacity and exploring alternative energy solutions to support its growing capacity needs, including non-emitting sources of power ⁶⁷. CoreWeave also expects to be among the first cloud providers to deploy the NVIDIA Rubin platform in the second half of 2026 ³¹, expanding support for large-scale inference, reasoning, and agentic AI ⁷.

Operationally, CoreWeave plans to maintain its prioritization of investments in its engineering and product teams to extend its technology leadership in AI infrastructure ⁶⁷. The company's engineering-led culture and focus on complex technical challenges are considered critical factors for future performance and innovation ⁶⁷. CoreWeave also intends to continue evolving its go-to-market organization and strategy to increase customer adoption of its CoreWeave Cloud Platform across a broader set of enterprises and emerging industries ⁶⁸.

Planned capital allocation includes increasing investment in technology and infrastructure, such as servers, network equipment, and data center-related expenses, relative to 2025 levels, to support business growth and long-term initiatives ⁷⁶. These capital investments are expected to be financed through a mix of debt and securities issuances, delayed draw term loan facilities, OEM financing arrangements, and cash from the balance sheet ⁷⁶. The company does not anticipate paying any cash dividends on its capital stock in the foreseeable future, intending to retain all available funds and future earnings for business operations ⁵⁷.

Management explicitly flagged several structural headwinds and execution risks to its growth plan. These include the inherent uncertainty in the broader adoption, use, and commercialization of AI technology, and the rapid pace of developments in the AI field ²². There is a risk that demand for computing power may not continue to increase or may decrease if existing scaling laws do not apply, or if there's a trend towards increased use of computing power from personal mobile devices or smaller data centers ²². Furthermore, recent advancements in AI technology, including open-source AI models, may lead to compute and other efficiencies that could impact demand for CoreWeave's platform ²². Geopolitical risks, including those arising from trade tension and/or the imposition of trade tariffs, terrorist activity, or acts of civil or international hostility, are increasing ⁶⁰. The potential for military conflict between China and Taiwan could negatively impact the global economy, including by affecting the supply of semiconductors from Taiwan, which are a critical component of CoreWeave's platform ⁶⁰.

CoreWeave faces material risks across several dimensions. Macroeconomic conditions, including global economic slowdowns, domestic and foreign regulatory uncertainty, changes in trade policies, tariffs, trade controls, labor shortages, supply chain disruptions, volatile interest rates, inflation, stagflation, and geopolitical instability, such as the conflicts in the Middle East and Ukraine, tensions between China and Taiwan, and instability in Venezuela, could adversely affect the business ²³, ⁶⁰. The company is highly dependent on a limited number of suppliers for significant components, particularly NVIDIA GPUs, and any disruption in their availability or increased costs could delay infrastructure expansion or replacement of defective equipment ¹⁴. Customer concentration is a significant risk, with Microsoft accounting for approximately 67% of revenue in 2025 ¹⁹, and OpenAI and Meta expected to be significant customers in future periods with commitments of up to approximately $6.5 billion ¹⁹ and $14.2 billion ¹⁹ respectively. The company's substantial indebtedness, totaling $21.6 billion ⁶⁰ as of December 31, 2025, requires significant interest and principal payments, and restrictive covenants in debt agreements may limit business opportunities ⁵², ⁵³. Cybersecurity threats, including sophisticated nation-state sponsored attacks and the misuse of AI-based tools by bad actors, pose a continuous risk to the company's infrastructure and data ²⁶. Regulatory risks are evolving, particularly concerning AI governance, critical infrastructure planning, energy policy, and export controls, with potential for increased costs or operational adjustments ¹², ⁴³. The company has identified material weaknesses in its internal control over financial reporting as of December 31, 2025, related to IT general controls, segregation of duties, and insufficient qualified personnel, which are expected to continue remediation efforts in 2026 ⁴⁷.

Management's message to shareholders emphasizes CoreWeave's position as "The Essential Cloud for AI," purpose-built to accelerate breakthroughs for AI pioneers ⁵. They highlight the comprehensive, tightly integrated platform of advanced infrastructure and proprietary software designed to enable customers to build and run AI systems continuously, reliably, and at global scale ⁵. Management notes the rapid growth experienced, with revenue increasing to $5.1 billion ⁵ for the year ended December 31, 2025, and a significant expansion of data center operations to 43 data centers with over 850 MW of active power ⁵. A key strategic priority is the continued investment in innovation and technology leadership, aiming to sustain the competitive advantage of their solution and bring the latest GPUs to market faster than competitors ⁶⁷. Another priority is driving more workloads from existing customers, leveraging large initial commitments and expanding those over time, as evidenced by $60.7 billion ⁵ in remaining performance obligations as of December 31, 2025. Lastly, increasing customer adoption of the CoreWeave Cloud Platform across a broader set of enterprises and emerging industries is a strategic focus, with the expectation that AI will expand beyond first movers ⁶⁸.