Top investor Paul Meeks said that CoreWeave's backstop from Nvidia could absorb "any extra capacity for seven years" given their GPU partnership.
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Neoclouds emerged as stopgaps to address the GPU shortage, but their economics are fragile, McKinsey has warned.
CEO Jensen Huang explains the "five-layer cake" of the AI buildout and how CoreWeave fits in. He also talks about China.
Analyst Brad Zelnick upgraded the artificial intelligence infrastructure provider to buy from hold.
"This is not business as usual. This is risk," Burry said of Nvidia's surge in purchase obligations.
"We believe near-term AI fundamentals are strong, driven by strong hyperscale capex spending," said one analyst.
Consensus hyperscale capex is at least $225 billion "too low" in 2027 and 2028, according to a recent analysis from Barclays…
