PANews October 15 news, NVIDIA CEO Jensen Huang said that data center operator CoreWeave's financial condition is improving. NVIDIA is CoreWeave's computing equipment supplier. Huang told at an event in Stockholm: "CoreWeave's strength is increasing every day." He believes there is no need for NVIDIA to provide financial guarantees for CoreWeave. "I am optimistic. In fact, their cost of capital is declining."
Previously, confidence in CoreWeave in the credit market had deteriorated, with its default risk seen as rising, and Huang is trying to restore market confidence in the company. CoreWeave is an important case for testing the sustainability of the business models of emerging artificial intelligence infrastructure companies.