CoreWeave, a leading GPU cloud infrastructure provider, secured an $8.5B loan to fund aggressive expansion of AI compute capacity.
CoreWeave secured a delayed-draw term loan facility of up to $8.5 billion to scale its AI cloud infrastructure. The initial draw is approximately $7.5 billion with an option to increase to $8.5 billion as data center assets stabilize. The seven-year loan matures in March 2032 and was arranged by Morgan Stanley and MUFG, anchored by Blackstone Credit's Insurance. CoreWeave says this financing is part of the $28 billion raised in 12 months, reflecting strong market confidence in AI demand.
Cloud specialist CoreWeave will use the funds to deliver on major AI contracts and accelerate its infrastructure build-out. "We're proud to partner with leading financial institutions on this landmark transaction… This reflects confidence in AI adoption and market validation of our model," said Brannin McBee, CoreWeave co-founder. The loan includes a SOFR-based floating tranche at SOFR+2.25% and a fixed-rate tranche at approximately 5.9%. Specific covenants were not disclosed.
CoreWeave completed an IPO in March 2025 and has rapidly expanded, including a recent UK data center investment and a reported 18% share of the dedicated AI GPU market. The financing comes amid a broader capital spending boom on AI infrastructure, with Bank of America and Reuters noting that U.S. data center investment has hit record highs as tech giants pour billions into AI. CoreWeave competes with both hyperscalers' cloud offerings and smaller GPU-focused players such as Lambda Labs, which raised $480 million in early 2025 and secured a $500 million GPU-backed loan, and Crusoe Energy, which recently closed a $350 million Series C and secured $200 million in asset-backed financing.
High leverage poses a risk if AI demand slows or supply chains disrupt GPU deliveries. CoreWeave will need to deploy equipment rapidly to service contracts and refinance debt as it expands. The company's next steps include drawing on the facility over the coming quarters to fund data center builds and chip purchases, with its progress watched against rivals' moves and the broader AI cycle.