LIVE · THU, JUL 02, 2026 --:--:-- ET

Issue Nº 72 COST TOTAL $14658.59 ARTICLES TODAY 9 TOKENS TOTAL 9.30B

Running the wire

Funding 8090 Labs closes $135M Series A led by Salesforce; Chamath assumes CEO role Breaking National Grid invests $1.75B in Joulent; 2.67 GW Microsoft data center power plant by 2028 Funding Together AI raises $800M at $8.3B valuation, plans 50x capacity growth Chips SK hynix Plans $712.5B South Korea Investment: HBM, NAND, New Semiconductor Cluster Market CoreWeave bonds slide as Meta plans competing in-house AI cloud infrastructure Market Chipmakers tank on oversupply fears as SK Hynix drops 14.6%, Samsung 9.1%; Micron down 10%+ Funding Together AI raises $305M Series B as DeepSeek reasoning demand drives infrastructure spending Funding Quantum Systems raises $1.2B at $8B valuation as European drone defense spending accelerates Breaking Supermicro denies Taiwan office raid in GPU smuggling probe; employees under investigation for export violations Chips Turkey launches $5B chip incentive plan; Elin Energy breaks ground on $400M semiconductor fab in Sivas Market Tesla deliveries surge 25% YoY to 480K in Q2, beating Wall Street consensus by 18% Funding Together AI closes $800M Series C at $8.3B valuation, backed by Aramco on open-source AI boom Market Microsoft invests $2.5B and 6,000 employees in new AI implementation unit (Frontier Co.) Market Meta plans cloud business to rent excess AI compute, targeting AWS and neoclouds Market CoreWeave, Nebius dive 14-17% as Meta cloud threatens neocloud model; CRWV backlog remains intact Market Meta pivots to cloud compute monetization; stock jumps 9% on neocloud competition fears Funding Baseten raises $1.5B Series F at $13B valuation; 20x revenue growth, 1B+ daily inferences Chips Valar Atomics partners with NVIDIA, demos nuclear-powered Blackwell in Utah Chips AWS OpenSearch Serverless rebuilds for agentic AI: 20x faster autoscaling, 60% cost savings, scale-to-zero Market SpaceX sets mega-cap IPO template: $1.77T valuation, 17% gain post-listing, fast index entry Funding 8090 Labs closes $135M Series A led by Salesforce; Chamath assumes CEO role Breaking National Grid invests $1.75B in Joulent; 2.67 GW Microsoft data center power plant by 2028 Funding Together AI raises $800M at $8.3B valuation, plans 50x capacity growth Chips SK hynix Plans $712.5B South Korea Investment: HBM, NAND, New Semiconductor Cluster Market CoreWeave bonds slide as Meta plans competing in-house AI cloud infrastructure Market Chipmakers tank on oversupply fears as SK Hynix drops 14.6%, Samsung 9.1%; Micron down 10%+ Funding Together AI raises $305M Series B as DeepSeek reasoning demand drives infrastructure spending Funding Quantum Systems raises $1.2B at $8B valuation as European drone defense spending accelerates Breaking Supermicro denies Taiwan office raid in GPU smuggling probe; employees under investigation for export violations Chips Turkey launches $5B chip incentive plan; Elin Energy breaks ground on $400M semiconductor fab in Sivas Market Tesla deliveries surge 25% YoY to 480K in Q2, beating Wall Street consensus by 18% Funding Together AI closes $800M Series C at $8.3B valuation, backed by Aramco on open-source AI boom Market Microsoft invests $2.5B and 6,000 employees in new AI implementation unit (Frontier Co.) Market Meta plans cloud business to rent excess AI compute, targeting AWS and neoclouds Market CoreWeave, Nebius dive 14-17% as Meta cloud threatens neocloud model; CRWV backlog remains intact Market Meta pivots to cloud compute monetization; stock jumps 9% on neocloud competition fears Funding Baseten raises $1.5B Series F at $13B valuation; 20x revenue growth, 1B+ daily inferences Chips Valar Atomics partners with NVIDIA, demos nuclear-powered Blackwell in Utah Chips AWS OpenSearch Serverless rebuilds for agentic AI: 20x faster autoscaling, 60% cost savings, scale-to-zero Market SpaceX sets mega-cap IPO template: $1.77T valuation, 17% gain post-listing, fast index entry

Market Thursday, July 2, 2026 at 04:33 PM

CoreWeave bonds slide as Meta plans competing in-house AI cloud infrastructure

CoreWeave's euro-denominated junk bonds fell nearly 2 cents over two days to 96.8 cents on the dollar, while its $1.25 billion dollar bond (also issued in June) dropped 1.3 cents to 97.3. The €2 billion ($2.3 billion) euro note was the first euro-denominated junk bond issued by a U.S. AI infrastructure company, opening European pension funds and insurers to AI infrastructure debt for the first time. The bond weakness reflects growing investor scrutiny of AI infrastructure financing even as new capital continues to flow into the sector.

CoreWeave has raised more than $20 billion through stock and debt sales in 2026, a remarkable pace. The company holds $66+ billion in contracted revenue backlog but carries approximately $30 billion in total debt, roughly triple what it was a year earlier. While Meta committed $35 billion total to CoreWeave infrastructure (including an additional $21 billion announced in April for 2027-2032), the company now faces competition from Meta building its own AI cloud services and other hyperscalers pursuing direct capacity buildout instead of outsourcing to specialist providers.

The credit market is shifting from exuberance to scrutiny: higher spreads reflect demand for increased compensation for risk, not outright rejection of the AI buildout. Core risks include GPU collateral depreciation (Nvidia refreshes chips annually), customer concentration (Meta, OpenAI, Anthropic control terms), and the unknown useful life of hardware backing $30B+ in debt. CoreWeave's argument rests on contracted revenue visibility, but falling GPU prices and rising refinancing costs pose structural headwinds.

For capital market practitioners and LPs, this signals an inflection in AI infrastructure financing: equity-stage risk (startup execution, TAM capture) has transferred to credit risk (asset depreciation, customer churn, fixed-cost overhangs). CoreWeave's widening spreads and competing Meta capacity suggest the junk-bond wave for AI infrastructure is pricing in execution risk that equity investors have not yet fully discounted.

Sources