CoreWeave Files for 2025's First Big Tech IPO — and Reveals It Gets More Than Half Its $1 Billion in Revenue From Microsoft
CoreWeave, an AI cloud provider backed by Nvidia, has filed its initial public offering (IPO) prospectus, revealing surging revenue that is largely driven by a single customer, Microsoft. The company's top line has grown by over 700% in the most recent year, with just two customers accounting for 77% of that revenue. Despite this growth, CoreWeave has also reported significant financial losses and "material weaknesses" in its internal financial reporting and IT systems.
- This IPO filing highlights the challenges faced by AI startups in maintaining financial stability while driving rapid growth, raising questions about the long-term sustainability of such business models.
- Will investors be willing to overlook these red flags if CoreWeave's revenue projections continue to impress, potentially setting a precedent for other AI pure plays navigating the public markets?