CoreWeave, an AI cloud startup, has denied reports of contract cancellations with Microsoft amid preparations for an initial public offering (IPO). The company’s denial followed a Financial Times report suggesting Microsoft had scaled back some agreements with CoreWeave.
CoreWeave’s spokesperson told Reuters in an emailed statement, “We pride ourselves in our client partnerships and there have been no contract cancellations or walking away from commitments. Any claim to the contrary is false and misleading.”
The Financial Times report, which cited unnamed sources, alleged contract terminations with CoreWeave due to delivery issues and missed deadlines. The report also noted that Microsoft maintained several active contracts with CoreWeave, recognizing it as a key partner.
Microsoft chose not to comment on the report.
According to a company filing, the agreement with Microsoft represented 62% of CoreWeave’s revenue in 2024, totaling $1.2 billion. The startup had previously cautioned that any adverse shifts in Microsoft’s demand or a change in the relationship could negatively affect its business prospects.
Established in 2017, CoreWeave, backed by Nvidia, provides access to data centers and high-performance chips for AI workloads. It competes with major cloud providers like Microsoft’s Azure and Amazon’s AWS.
CoreWeave is laying the groundwork for a New York flotation, which could see the company valued at over $35 billion, potentially making it one of the largest IPOs in recent times. The company is also reportedly targeting to raise over $3 billion from its share sale.
