CoreWeave leans on customer prepayments and shorter contracts to fund AI buildout

CoreWeave said in its third-quarter earnings that it is increasingly asking customers to pay up front, borrowing against specific contracts and signing shorter-term deals to finance its AI infrastructure growth. The company reported $3.66 billion in revenue, up 168% year over year, alongside a $709 million net loss and $846 million in quarterly interest expense, and it expects about $9 billion in customer prepayments and deposits over the next three months against a $132.5 billion backlog. CEO Michael Intrator said CoreWeave will not use the unsecured debt market at current yields, while short-term capacity is selling at more than $40 million per megawatt annually versus $20 million to $25 million for four- and five-year contracts.