CoreWeave Inc’s CRWV recently announced multi-billion-dollar agreement with Jane Street reinforces its position in the AI infrastructure market and strengthens the revenue visibility.
Under the deal, Jane Street has “committed” $6 billion to use CRWV’s AI cloud platform, thereby expanding the existing partnership between the two entities. CoreWeave will provide Jane Street with access to advanced compute capacity across several facilities. This will encompass NVIDIA’s Vera Rubin technology and the software and services required to implement and ramp AI solutions.
The agreement also underscores the rising demand for specialized AI infrastructure, particularly among data-intensive industries like financial services. New York-headquartered Jane Street is a quantitative trading firm. CoreWeave further noted that its cloud is “tailored” to the requirements of Jane Street operations, which include connectivity and storage configurations along with technical support.
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In addition to the usage commitment, Jane Street’s $1 billion equity investment at $109 per share serves as a strong vote of confidence in CoreWeave’s long-term growth prospects.
Overall, the transaction enhances CoreWeave’s revenue durability while underscoring continued momentum in AI cloud adoption, particularly among large-scale customers. Earlier this month, CRWV signed a multi-year deal with Anthropic, a prominent AI company, to support the development of the latter’s Claude AI models.
Before that, CoreWeave expanded a long-term agreement with Meta Platforms, Inc. META, to provide AI cloud capacity through December 2032, in a deal valued at approximately $21 billion. This renewed partnership builds on their existing relationship and strengthens CoreWeave’s role in supporting Meta’s growing AI development and deployment efforts.
CoreWeave’s growing roster of large customers positions it well to gain incremental share as demand for high-performance compute accelerates. But it also sets the stage for a tight competition with rivals.
Mapping the Competitive Terrain
Nebius NBIS also signed a long-term AI infrastructure supply agreement with Meta Platforms in March. Under the five-year deal, Nebius will deliver $12 billion worth of dedicated AI compute capacity across multiple locations, powered by deployments of the NVIDIA Vera Rubin platform, with deliveries set to begin in early 2027.
In March 2026, Nebius received a $2 billion investment from NVIDIA, and so did CoreWeave (January 2026). NBIS is also focused on capacity expansion to meet demand. Having secured more than 2 GW of contracted power, Nebius plans to surpass 3 GW and remains on track to deliver 800 MW to 1 GW of data center capacity by the end of 2026. For 2026, the company expects revenues of $3 billion to $3.4 billion, with an annualized run-rate revenue target of $7 billion to $9 billion by year-end. In comparison, CoreWeave expects 2026 revenues to be between $12 billion and $13 billion for 2026.
Microsoft MSFT, with the Azure platform, deep ties to OpenAI and a focus on large-scale model training and deployment, offers serious competition in the AI infrastructure space.
In the last reported quarter, commercial remaining performance obligation (“RPO”) stood at $625 billion, up 110% year over year, reflecting multiyear customer commitments across its cloud portfolio. Microsoft added that about 25% of this RPO will be recognized in revenues in the next 12 months and the remaining will be recognized beyond that. A substantial portion of the RPO growth was driven by large Azure commitments from OpenAI and Anthropic. This underscores the strong demand for Azure’s AI and cloud infrastructure.
CRWV Price Performance, Valuation and Estimates
Shares of CoreWeave have surged 44.4% over the past month compared with the Internet Software industry’s growth of 3.3%.
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In terms of price/book, CRWV’s shares are trading at 15.02X, higher than the Internet Software industry’s ratio of 4.89X.
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The Zacks Consensus Estimate for CRWV’s earnings for 2026 has been significantly revised downward over the past 60 days.
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CRWV currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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This article originally published on Zacks Investment Research (zacks.com).