CoreWeave announced an agreement Monday to acquire Core Scientific in an all-stock transaction valued at approximately $9 billion.

The move marks the latest major development for CoreWeave, which went public earlier this year. The Livingston-based AI hyperscaler says this acquisition of a leading data center infrastructure provider will help it verticalize its data center footprint to future-proof revenue growth and enhance profitability.

“This acquisition accelerates our strategy to deploy AI and HPC workloads at scale,” said CoreWeave co-founder, CEO and Chairman of the Board Michael Intrator. “Verticalizing the ownership of Core Scientific’s high-performance data center infrastructure enables CoreWeave to significantly enhance operating efficiency and de-risk our future expansion, solidifying our growth trajectory.”

“As our longstanding partner, CoreWeave has experienced firsthand the operational excellence we deliver and the value of the services we provide,” said Adam Sullivan, president and CEO, Core Scientific. “Together with CoreWeave, we will be well-positioned to accelerate the greatest value for our shareholders, who will be able to participate in the tremendous upside potential of the combined company.”

Key details:

• CoreWeave expects to generate significant cost savings through streamlining business operations and eliminating lease overhead. That includes the removal of over $10 billion of cumulative future lease overhead for existing contractual sites over the next 12 years
• CoreWeave can pursue infrastructure financing strategies to finance committed capital expenditures, reducing its overall cost of capital
• Allows CoreWeave to gain greater control over a critical power footprint as well as optionality for future power capacity. Through the acquisition, the company will own 1.3 gigawatts of gross power across Core Scientific’s national data center footprint. The portfolio also offers an incremental 1 GW+ of potential gross power available for expansion
• The two companies say they complement each other. Core Scientific’s data center development capabilities will augment CoreWeave’s expertise in power procurement, construction and site management for infrastructure assets
• Upon close, CoreWeave expects Core Scientific’s shareholders’ ownership of the combined company to be less than 10%
• Transaction set to close in the fourth quarter of 2025, subject to regulatory approval and approval by Core Scientific shareholders

Intrator added, “Owning this foundational layer of our platform will enhance our performance and expertise as we continue helping customers unleash AI’s full potential.”