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📍 New York, July 7, 2025 — AI cloud provider CoreWeave has announced a definitive agreement to acquire data center operator Core Scientific in a $9 billion all-stock transaction, marking the largest deal to date in the accelerating shift from cryptocurrency mining to artificial intelligence infrastructure.
🧠 Strategic Shift Toward AI The acquisition will give CoreWeave control of 1.3 gigawatts of gross power capacity across Core Scientific’s national data center footprint, with an additional 1 GW+ of expansion potential. The move is expected to eliminate over $10 billion in future lease obligations and generate $500 million in annual cost savings by 2027 through vertical integration and operational efficiencies.
Core Scientific, which emerged from bankruptcy in early 2024, has been transitioning from Bitcoin mining to hosting high-performance computing (HPC) workloads. The company signed a 12-year hosting contract with CoreWeave in June 2024, laying the groundwork for this acquisition.
💹 Deal Terms and Valuation
- Core Scientific shareholders will receive 0.1235 shares of CoreWeave Class A stock for each share held
- The deal values Core Scientific at $20.40 per share, a 66% premium over its pre-deal trading price
- Upon closing, expected in Q4 2025, Core Scientific shareholders will own less than 10% of the combined entity
⚡ Industry Context The acquisition reflects a broader trend among crypto miners pivoting to AI infrastructure amid deteriorating mining economics. Following the April 2024 Bitcoin halving, block rewards dropped from 6.25 BTC to 3.125 BTC, pushing mining costs to an estimated $70,000 per Bitcoin. Meanwhile, demand for AI compute continues to surge, with projections suggesting AI workloads will consume more electricity than Bitcoin mining by late 2025.
Mid-tier miners such as Hive and Iren have already begun repurposing facilities for AI, deploying thousands of NVIDIA GPUs for machine learning applications. Bernstein analyst Gautam Chhugani called the CoreWeave-Core Scientific deal a “benchmark” for future pivots, noting that power access remains the key constraint for AI data center expansion.
🗣️ Executive Commentary “This acquisition accelerates our strategy to deploy AI and HPC workloads at scale,” said Michael Intrator, CEO of CoreWeave. “Owning this foundational layer of our platform will enhance our performance and expertise as we continue helping customers unleash AI’s full potential”.
📄 Source: Data Center Dynamics
