Core Scientific, Inc, a leader in digital infrastructure high-performance computing, announced that CoreWeave, the AI Hyperscaler, has exercised its option to contract for additional infrastructure pursuant to the terms provided as part of the previously announced 200 megawatt (“MW”) hosting contract for high performance computing (“HPC”) entered into with CoreWeave on June 3, 2024.
Under the terms of today’s announced agreement, Core Scientific will modify its infrastructure to deliver approximately 112 incremental MW for HPC to host CoreWeave’s NVIDIA GPUs. Site modifications are expected to begin in the second half of 2024, with operational status anticipated in the first half of 2026. This new 12-year HPC hosting contract will further expand Core Scientific’s exposure to contracted, multi-year, dollar-denominated revenue. The new contract with CoreWeave is expected to add approximately $2.0 billion in projected additional cumulative revenue over the hosting contract’s 12-year term to the more than $4.7 billion in projected cumulative revenue associated with previously announced contracts with CoreWeave, for a total of $6.7 billion.
“We have now contracted with CoreWeave for a total of 382 megawatts of HPC infrastructure, reflecting the strong demand for high-power data center infrastructure and the unique ability of our team to deliver it,” said Adam Sullivan, Core Scientific’s Chief Executive Officer. “The latest contract also validates that our strategy for developing application-specific data centers aligns with the increasing energy density requirements for high-performance computing that legacy data centers do not typically satisfy.”
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“CoreWeave has one remaining option for 118 megawatts of our infrastructure and we are actively building our pipeline of potential new sites to expand our infrastructure portfolio and business opportunity. By maximizing the value and increasing the scope of our infrastructure portfolio for HPC hosting and bitcoin mining, we believe we can grow our business and the value we deliver to clients and shareholders,” Mr. Sullivan added.
Consistent with the terms of the agreements with CoreWeave previously announced on June 3rd and June 25th, 2024, all capital investments required to modify Core Scientific’s existing infrastructure into cutting-edge, application-specific data centers customized for dense HPC will be funded by CoreWeave. The new agreement with CoreWeave also provides opportunities for two renewal terms of five years each.
Building on the previously announced 270 MW of infrastructure for HPC hosting, the agreement announced will position Core Scientific to provide a total of approximately 382 MW of HPC infrastructure to CoreWeave by the first half of 2026. CoreWeave retains optionality for further expansion with an additional approximately 118 MW of infrastructure for HPC hosting at another Core Scientific site, which if exercised would place Core Scientific among the largest publicly traded data center operators in the United States.
With its total of 1.2 gigawatts of contracted power, Core Scientific is able to deliver a total of nearly 500 MW of infrastructure for HPC hosting to be used for alternative compute workloads based on geographic proximity to major cities and fiber lines.
SOURCE: Businesswire