AI cloud computing firm CoreWeave has agreed to acquire bitcoin mining company Core Scientific in an all-stock transaction, the companies announced Monday, marking a significant expansion of CoreWeave’s infrastructure as global demand for artificial intelligence services accelerates.
The deal, disclosed in a filing with the Securities and Exchange Commission, follows the resumption of negotiations after Core Scientific rejected a $1.02 billion cash offer from CoreWeave in 2024. Core Scientific (NASDAQ: CORZ) has an estimated market capitalization of $5 billion.
Shares of Core Scientific surged 33% on June 30 after The Wall Street Journal reported renewed talks between the companies. Core Scientific operates large-scale digital infrastructure for bitcoin mining and provides hosting services for third-party clients.
CoreWeave, a provider of high-performance cloud computing tailored to AI workloads, said the acquisition will add as much as 1.3 gigawatts of computational capacity to its operations, according to the SEC filing.
The companies are not strangers to each other. In 2024, Core Scientific signed 12-year contracts to deliver 200 megawatts of infrastructure to support CoreWeave’s growing compute needs.
The move comes amid a global race to scale AI infrastructure. According to Grand View Research, the AI infrastructure market reached $35.62 billion in 2023 and is projected to grow at more than 30% annually through 2030. IDC reports that the United States accounts for nearly 60% of global AI infrastructure spending.
Core Scientific had previously turned down CoreWeave’s $5.75 per share cash bid, deeming it undervalued. Financial analysts estimate the company’s intrinsic value at approximately $12.13 per share, just below its recent trading price of $12.41.
The transaction is subject to regulatory review and customary closing conditions. Representatives for both CoreWeave and Core Scientific did not immediately respond to requests for comment.
IDC forecasts that servers equipped with AI accelerators will represent over 75% of server-related AI infrastructure spending by 2028, underscoring the strategic timing of the merger as enterprise demand for AI computing intensifies.
Join our Telegram Channel