Microsoft signs multi-billion dollar deal with GPU cloud provider CoreWeave to meet AI needs

NVIDIA HGX H100

Microsoft has signed a multi-year deal with specialist cloud provider CoreWeave that could be worth billions.

CNBC reports that Microsoft, which operates the second largest cloud business in the world, will pay the competitor to help support the growing needs of its artificial intelligence customers, including OpenAI.

CoreWeave is a specialized cloud provider built for large-scale GPU-accelerated workloads. The company raised $200 million earlier this week – just a month after it raised $221m at a $2bn valuation.

The Information reports that the company, which counts Nvidia as an investor, is given preferential treatment from Nvidia. The GPU maker gives it and other smaller cloud providers, like Lambda, earlier access to the latest A100 and H100 chips – potentially because they are not developing their own competing chips, as Microsoft, Amazon, and Google are.

Read more: datacenterdynamics.com