Nvidia's $6.3 Billion Deal With CoreWeave Signals Something Big for Shareholders of Both Companies

Nvidia (NASDAQ: NVDA) has built an artificial intelligence (AI) empire thanks to the dominance of its AI chips and its expansion into a wide variety of other related offerings. But the company isn't isolating itself, and instead, has looked to work with others -- even much smaller players -- in this AI boom. One company in particular has become a key Nvidia ally, and that's CoreWeave (NASDAQ: CRWV).CoreWeave launched an initial public offering in March, and the stock has since surged about 195%, buoyed by the company's soaring sales -- and its relationship with Nvidia. The AI chip giant held a 7% stake in CoreWeave as of the end of the second quarter, and CoreWeave makes up 91% of Nvidia's investment portfolio. And CoreWeave's business relies heavily on Nvidia as the company's specialty is the following: It rents out Nvidia's high-powered graphics processing units (GPUs) to customers through its cloud platform.Now, Nvidia's latest move -- a $6.3 billion deal with CoreWeave -- signals something big for shareholders of both companies. Let's take a closer look.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool