In CoreWeave’s lackluster IPO, some see signs of a looming AI bust. But CoreWeave’s problems are mostly about CoreWeave

Quick Summary:

The company's debt-fueled business model make it a poor proxy for gauging AI enthusiasm more broadly.

Last year, it brought in $2.75 billion in cash from its business, but sent $8.7 billion out the door leasing data centers and buying and leasing GPUs.

That debt carries high interest payments—most analysts estimate that it will need to make at least $1 billion of debt service payments in 2025, but that this figure could, depending on what happens with core interest rates and several aspects of CoreWeave’s business, be as high as $1.7 billion.

---

More Pictures

---

Read Quick SummarySave Time

or

Article Details

Author / Journalist: Jeremy Kahn

Category: EconomyBusiness

Markets: United States

Topics: Data centers Microsoft Nvidia IPOs Cloud data centers Cloud Computing OpenAI A.I.

Source Website Secure: Yes (HTTPS)

News Sentiment: Neutral

Fact Checked: Legitimate

Article Type: News Report

Published On: 2025-03-28 @ 19:58:50 (3 days ago)

News Timezone: GMT +8:00

News Source URL: fortune.com

Language: English

Article Length: 1896 words

Reading Time: 11 minutes read

Sentences: 7 lines

Sentence Length: 271 words per sentence (average)

Platforms: Desktop Web, Mobile Web, iOS App, Android App

Copyright Owner: © Fortune

News ID: 27388894

View Article Analysis

About Fortune

Main Topics: EconomyBusiness

Official Website: fortune.com

Update Frequency: 26 posts per day

Year Established: 1929

Headquarters: United States

News Last Updated: 8 hours ago

Coverage Areas: United States

Ownership: Independent Company

Publication Timezone: GMT +8:00

Content Availability: Worldwide

News Language: English

RSS Feed: Available (XML)

API Access: Available (JSON, REST)

Website Security: Secure (HTTPS)

Publisher ID: #95

Publisher Details

Frequently Asked Questions