The foundation of Jensen Huang, CEO of Nvidia, and his wife Lori, acquires computing time from CoreWeave in order to donate it to universities and other non-profit institutes, according to a document valuing this donation at $ 108.3 million to date.
According to a statement released Tuesday, these computing resources will be allocated to scientific research and artificial intelligence. Nvidia plans to offer free engineering services to certain recipients of these subsidies, the document specifies.
While this donation is a testament to Huang’s generosity, it also represents a new measure of support from Nvidia for CoreWeave, a cloud provider specializing in AI applications. Nvidia designs the graphics processing units (GPUs) that CoreWeave offers to its customers. In January, Nvidia invested $2 billion in CoreWeave to become, at the time, the second largest shareholder.
Last year, Nvidia signed a $6.3 billion deal with CoreWeave for cloud computing capacity, ensuring that the chip giant repurchases any capacity not sold to end customers.
The semiconductor leader is facing increased scrutiny for investing billions of dollars in AI companies, including OpenAI (creator of ChatGPT) and ‘neoclouds’, raising concerns among investors over possible circular financing schemes.
CoreWeave raised the lower end of its capital spending forecast last week when it released its results, citing rising component prices. (Reporting by Max A. Cherney in San Francisco; Editing by Cynthia Osterman)
