Core Scientific (CORZ) Stock Jumps 17% on New $2B High-Performance Computing Contract With CoreWeave

The extension of a prior agreement will see Core Scientific host an additional 112 megawatts (MW) of GPUs for CoreWeave, an AI hyperscaler firm.

Core Scientific Technologies (NASDAQ:CORZ) stock price shot up as much as 17% after announcing a new $2 billion high-performance computing (HPC) contract with CoreWeave.

The expanded agreement will see Core Scientific hosting an additional 112 megawatts (MW) of GPUs for CoreWeave, an AI hyperscaler company. This brings the total revenue backlog from the contract to $6.7 billion, expected to begin in the first half of 2026.

CoreWeave will cover all capital expenditures for upgrading Core Scientific’s existing infrastructure to support HPC use. The new deal follows an earlier agreement to provide 200MW of GPU hosting, which was later expanded by 70MW, and now this third extension.

The agreement showcases Core Scientific’s strategic advantage in leveraging its existing infrastructure for the high-energy data center needs of HPC and AI, a rapidly growing market segment driven by the increasing demand for advanced data center infrastructure.

Moreover, Core Scientific has secured options for further contract extensions to host an additional 118MW for HPC computing, highlighting its capability in meeting the energy-intensive requirements of modern computing.

The company’s ability to pivot its mining infrastructure to support high-performance and AI data centers is considered a crucial factor in its current market performance, especially amid the challenges faced by the crypto mining sector in a prolonged bear market.

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