Microsoft Corp. chose to skip the $12 billion deal to acquire additional data center capacity from CoreWeave, Semafor reported citing sources with knowledge of the matter.
CoreWeave previously signed an $11.9 billion contract with OpenAI to provide AI infrastructure to the latter company. According to sources, Microsoft also decided to reduce its spending with the latter company because it was dissatisfied with its services. CoreWeave, on the other hand, denied the rumor. Both Microsoft and CoreWeave refused to comment.
At the same time, CoreWeave announced an ambitious plan to raise $2.7 billion in its initial public offering, stating it expected the price range to be between $47 to $55 per share.
