Nvidia + Germany AI Deal; CoreWeave Capital Cost Falling
Germany's Chancellor Merz is preparing a major AI partnership with Nvidia backed by hundreds of millions in government funding. Separately, Jensen Huang said Nvidia doesn't need to backstop CoreWeave and that its cost of capital is 'actually decreasing.'
What we know
An account on X (142 likes, 73K views) broke the Germany-Nvidia partnership, targeting industrial AI and robotics. Another account on X then reported Huang's statement that Nvidia doesn't need to backstop CoreWeave and that CoreWeave's cost of capital is 'actually decreasing'. Another account on X reminded that Nvidia holds ~$2B in CoreWeave and helped rescue its downsized IPO. Another account on X in stock trading pushed back: 'Huang needs to understand that Nvidia is backstopping all of this.' Goldman's note added macro context: 'Demand for compute can grow exponentially, but the capital to finance it cannot.'
How the story developed
Germany's Chancellor Merz is preparing a major AI partnership with Nvidia backed by hundreds of millions in government funding. Separately, Jensen Huang said Nvidia doesn't need to backstop CoreWeave and that its cost of capital is 'actually decreasing.'
Nvidia CEO Jensen Huang announced $2 billion in new European AI investments coming next week, adding to $8 billion already invested across Europe in the past year, signaling continued aggressive infrastructure buildout.
By the Global Eye 24 desk, with AI assistance. Updated as the story develops. Spot an error? Write to corrections@globaleye24.com.