CoreWeave to Power Google’s Cloud Deal with OpenAI, Sources Say
AI-summarised brief · reviewed before publication
Cloud computing provider CoreWeave will supply computing capacity for a new multiyear agreement between Alphabet’s Google and OpenAI, according to three sources familiar with the matter. The deal positions CoreWeave as a key player in supporting OpenAI’s access to Google’s cloud infrastructure, marking a significant collaboration in the competitive AI computing landscape. Under the agreement, Google will provide OpenAI, the creator of ChatGPT, with cloud computing resources at a discounted rate compared to standard pricing, one source said. In exchange, OpenAI has committed to a multiyear contract guaranteeing substantial usage of Google’s cloud services. The partnership aims to bolster OpenAI’s infrastructure for training and deploying its advanced AI models. CoreWeave’s role involves leasing high-performance computing resources, including Nvidia GPUs, to Google, which will then allocate these resources to OpenAI. Two sources noted that CoreWeave’s infrastructure, optimized for AI workloads, makes it an ideal partner for this arrangement. Financial details of the deal, including its total value or the volume of computing capacity, remain undisclosed. The collaboration comes as Google ramps up efforts to compete with Microsoft Azure and Amazon Web Services in the cloud computing market, particularly for AI-driven workloads. Google’s cloud division has been a focal point for growth, with the company leveraging its AI expertise to attract high-profile clients like OpenAI. For OpenAI, the deal diversifies its cloud reliance beyond Microsoft, its primary backer and longtime infrastructure provider. CoreWeave, valued at $19 billion in a 2024 funding round, has emerged as a leading provider of AI-optimized cloud infrastructure, serving clients like xAI and Stability AI. The company’s access to Nvidia’s sought-after GPUs has fueled its rapid growth, with revenue projected to reach $2 billion in 2025. Its involvement in the Google-OpenAI deal underscores its rising influence in the AI ecosystem. None of the companies—CoreWeave, Google, or OpenAI—responded to requests for comment. The agreement reflects the intensifying race among tech giants to secure AI workloads, with cloud providers and chipmakers like Nvidia playing pivotal roles in enabling the next wave of AI innovation. As OpenAI continues to scale its operations, including the development of its upcoming GPT-5 model, access to robust cloud infrastructure is critical. The Google-CoreWeave partnership could reshape dynamics in the AI cloud market, offering OpenAI a strategic alternative while reinforcing Google’s position as a go-to provider for AI computing needs.
