CoreWeave

“There's a company called core weave, which provides cloud infrastructure for AI training. It secured a 2.3 billion dollar investment in the form of a loan.”

“None of these companies will really be allowed to exist in this exact way four or five years from now, because ultimately what people want is massive throughput, right? Tokens per second.”

“I worry a little bit about a business like this where there's four or five companies that are each doing eighty billion dollars of capex this year to create infrastructure that effectively starts to replace what these guys are effectively offering out as a ser…”

“And as it turns out, they had one very specific technical decision that I think was extremely valuable, which is that these guys did not use hypervisors.”

“They've got 32 data centers with 250,000 NVIDIA GPUs.”

“They had massive revenue growth, but They have a dependency, 60% of the revenue now from Microsoft”

“They still own the majority.”

“If NVIDIA had not put any money into CoreWeave, not put any money into kind of other of these neoclouds, I don't think it would have impacted their revenues at all.”

“And I do think core weave runs these big GPU clusters as well as anyone. And there aren't that many people on planet earth who can run them well.”

“For years now, for four years, the depth of the demand for the service we provide has been relentless and overwhelms the global capacity of the world to deliver enough compute to enable all of the demand for artificial intelligence to be stated.”

“Our clients come into us and they buy compute for five years, for six years. Our average contract is five years.”

“We actually went out and bought a bunch of A-one hundreds and donated them to a group that was working on Luther AI.”

“We use a six year depreciation. We believe that the GPUs will last in excess of six years, but we felt like that was a fair and reasonable approach to a technology cycle that's moving at this velocity.”

“CoreWeave, which is a company that many people haven't ever heard of, was able to go out and raise thirty five billion dollars in 18 months to build infrastructure at scale.”

“Our first like large commercial was inflection.”

“When you're thinking about what we do, we kind of live above the NVIDIA GPUs, but below the models.”

“CoreWeave has really been the innovator around a lot of the financing engines that have come to bear on this. We did the first GPU based loans.”

“When you think about our cost of capital over the last two years, we have dropped our cost of capital by 600 basis points.”