CoreWeave Secures $221M Investment in Series B Funding Round

CoreWeave revealed that it has raised $221 million in a Series B fundraising round, which was led by Magnetar Capital and included Nvidia, the former CEO of GitHub Nat Friedman, and ex-Apple executive Daniel Gross. 

CoreWeave is a New York City-based firm that started out as an Ethereum mining operation and is now working to become a general-purpose cloud computing platform. A representative for Nvidia stated that the investment signifies a “deepening” relationship with CoreWeave.

The funding round, which values CoreWeave at $2 billion pre-money and brings the total amount raised by the business to $371 million, will help CoreWeave expand its network of data centers in the United States by enabling the establishment of two new facilities this year, according to CEO Mike Intrator. 

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In order to fill what Brian Venturo and Brannin McBee perceived as “a void” in the cloud industry, they developed CoreWeave in 2017. Venturo, a casual Ethereum miner, purchased GPUs for a bargain price from bankrupt cryptocurrency mining operations, opting for Nvidia hardware due to the higher memory.

CoreWeave’s initial focus was solely on applications for cryptocurrencies. However, it has recently shifted to generative AI technologies, such as text-generating AI models, as well as general-purpose computers.

For use cases including AI and machine learning, visual effects and rendering, batch processing, and pixel streaming, CoreWeave today offers access to more than a dozen SKUs of Nvidia GPUs in the cloud, including H100s, A100s, A40s, and RTX A6000s.