CoreWeave carries roughly $15 billion of debt, including lease obligations, which represents nearly four times its total revenue over the past 12 months. In the most recent quarter, the company paid $311 million in interest expenses—up nearly 200% year-over-year—and this interest cost now consumes more than 20% of its revenue and exceeds six times its gross profit. With such a high leverage ratio and rising financing costs, any slowdown in AI compute demand could force CoreWeave to renegotiate debt terms or raise equity at dilutive valuations, placing significant downward pressure on investor returns.

Having already cut its infrastructure spending forecast by around 40%, CoreWeave still expects to invest between $12 billion and $14 billion in capital expenditures for 2025. Delays have pushed portions of last year’s buildout into 2026, potentially driving total capex toward $30 billion for the year. While these investments secure the latest GPUs from partners such as Nvidia, they also hinge on assumptions about server useful lives. If next-generation hardware releases shorten replacement cycles, CoreWeave could face accelerated depreciation charges and margin compression, undermining its path to profitability despite triple-digit revenue growth rates.

CoreWeave was among the first cloud providers to deploy Nvidia’s new Rubin AI platform, which went into full production in late 2025. This early adoption grants customers access to more cost-efficient training and inference capabilities for large language models and advanced reasoning workloads. Nvidia, which holds a 5% equity stake in CoreWeave, has publicly endorsed the deployment as a milestone for AI infrastructure. As enterprises seek specialized environments for complex AI projects, this close alignment with Nvidia’s hardware roadmap may help CoreWeave defend its market position against hyperscalers bringing workloads in-house.