CoreWeave investor explains how the loss-making AI ‘neocloud’ provider plans to claw its way out of debt

Debt owed by AI service companies also made headlines recently when Oracle issued a “force majeure” citation to Blue Owl, the developer of a massive data center in New Mexico, over worries that the site won’t be finished when it is scheduled to come online in 2028—an indicator that customers might have the legal ability to walk away from their commitments if the weather changes against them. And Gartner estimates that 80% of neocloud providers will cease independent operations by 2030 because their revenues won’t cover their outgoings. But the…