Clouded Judgments: CoreWeave Faces Class Action Over Data Center Dependency

CoreWeave sold investors a dream. The AI hyperscaler. Massive demand. Billions in long-term contracts.

In March 2025, just weeks before its IPO, CoreWeave hyped a deal worth nearly $12 billion tied to AI growth. The stock took off. By June, shares had surged more than 300%.

Executives kept saying demand was "robust" and "unprecedented." But behind the scenes, there was a problem. CoreWeave could not build data centers fast enough. Its entire business depended on a single third-party provider to deliver powered shells. And those builds were already falling behind. In October, a key acquisition collapsed. In November, CoreWeave finally cut revenue guidance, blaming delays. Days later, executives admitted the delays hit more than one site.

Then in December, reports revealed those problems had been flagged months earlier. The stock slid from triple digits to under $70. Now, investors say they were kept in the dark. And more shareholders are joining the lawsuit.