By Victor Swezey
Shares of Core Scientific climbed Tuesday after signing a modified contract with CoreWeave for additional computing infrastructure that is projected to bring in nearly 40% more revenue than previously expected.
In midday trading, the stock was up 8.8% to $9.50. Shares are up 176% since this year, having hit a high of $10.70…
By Victor Swezey
Shares of Core Scientific climbed Tuesday after signing a modified contract with CoreWeave for additional computing infrastructure that is projected to bring in nearly 40% more revenue than previously expected.
In midday trading, the stock was up 8.8% to $9.50. Shares are up 176% since this year, having hit a high of $10.70 on June 13.
The Dover, Del.-based digital asset mining and blockchain company said Tuesday that the new contract with CoreWeave is going to bring in an additional $1.23 billion in projected revenue over the 12-year contract’s timeline. It had previously projected more than $3.5 billion in revenue over the life of the contract.
According to the contract, the company would deliver 70 megawatts to CoreWeave’s Nvidia GPUs for high-performance-computing operations by modifying 100 megawatts of its owned infrastructure.
These modifications are expected to begin in the second half of this year, with the infrastructure becoming operational in the second half of 2025.
AI-focused startup CoreWeave has received more than $100 million in investment from Nvidia and is one of the largest GPU cloud providers.
Write to Victor Swezey at victor.swezey@wsj.com
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