Share this article
Core Scientific Shares Drop 15% as Microsoft Cuts CoreWeave Commitments
AI cloud provider faces setback as major client pulls back.
Updated Mar 6, 2025, 2:57 p.m. Published Mar 6, 2025, 2:18 p.m.
What to know:
- Microsoft has withdrawn from some CoreWeave agreements due to delivery issues, though it remains a key partner.
- CoreWeave, heavily reliant on Microsoft (62% of revenue), faces risks ahead of its IPO amid shifting AI infrastructure strategies.
- Core Scientific share price is down 15% pre-market.
Shares of bitcoin miner Core Scientific (CORZ) were down 15% in pre-market on Thursday after reports that Microsoft (MSFT) has pulled back from some agreements with soon to listed cloud computing firm CoreWeave.
Last month, Core Scientific said it was planning a $1.2 billion data center expansion with CoreWeave. This week, CoreWeave filed for an intital public offering, hoping to raise $4 billion at a $35 billion valuation.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
According to an FT article, CoreWeave, which supplies artificial intelligence (AI) computing power to Microsoft, was facing delivery issues and missed deadlines, causing the tech giant to reduce its commitments, though it remains a major partner.
Microsoft represents 62% of CoreWeave’s revenue and has pledged over $10 billion in spending on its services by 2030. CoreWeave has rapidly grown, generating $1.9 billion in revenue in 2024 but posting significant losses.
It relies heavily on Nvidia’s (NVDA) AI chips and has raised $14.5 billion in debt and equity. Microsoft’s decision aligns with its shifting AI infrastructure strategy, though it remains committed to major investments in the sector.
Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards. For more information, see CoinDesk’s full AI Policy.
More For You
What to know:
- As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M.
- GoPlus Intelligence's Token Security API averaged 717 million monthly calls year-to-date in 2025 , with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month.
- Since its January 2025 launch , the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B , while derivatives volume peaked the same month at over $4B.
More For You
LUNC Surges Over 160% in a Week as Do Kwon Sentencing and Token Burns Draw Traders
The rally is driven by speculation that a final verdict could bring clarity to the project, as well as technical factors like token burns.
What to know:
- Terra Classic (LUNC) surged 74% to $0.0000072, up 160% in the past week, on exploding trading volume, ahead of Terraform Labs founder Do Kwon's sentencing on Dec. 11.
- The rally is driven by speculation that a final verdict could bring clarity to the project, as well as technical factors like token burns, with 849 million LUNC destroyed in the past week.
- The token's momentum is also fueled by Binance's pause on LUNC withdrawals ahead of the Terra Chain's v2.18 upgrade, which aims to improve network stability, despite the token remaining volatile.
Top Stories
