Backblaze Secures $335M Deal with CoreWeave for AI Storage
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2 hours ago
0mins
Source: seekingalpha
- Deal Value: Backblaze has secured a five-year deal worth $335 million with CoreWeave to enhance its managed storage infrastructure, which is crucial for optimizing data placement across performance tiers, thereby significantly boosting Backblaze's competitive edge in the AI storage market.
- Stock Reaction: Following the announcement, Backblaze's shares surged 30% in early trading on Tuesday, reflecting strong market confidence in its growth potential, while CoreWeave's shares dipped about 2%, indicating a more cautious investor sentiment regarding its future outlook.
- Market Opportunity: Backblaze estimates a $14 billion opportunity in the neocloud storage market by 2030, having engaged with most top neoclouds and signed multiple six-, seven-, and eight-figure deals, showcasing its robust positioning in the rapidly growing AI-driven infrastructure sector.
- Industry Context: As AI workloads increasingly demand efficient storage solutions, Backblaze's HDD-based storage infrastructure is deemed foundational for AI workflows, with CEO Gleb Budman emphasizing the critical role of storage in AI computing, further solidifying its market position.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy CRWV?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on CRWV
Wall Street analysts forecast CRWV stock price to rise
25 Analyst Rating
12 Buy
13 Hold
0 Sell
Moderate Buy
Current: 111.290
Low
68.00
Averages
123.23
High
180.00
Current: 111.290
Low
68.00
Averages
123.23
High
180.00
About CRWV
CoreWeave, Inc. is a cloud infrastructure technology company. The Company offers the CoreWeave Cloud Platform, which consists of software and cloud services that deliver the automation and efficiency needed to manage complex artificial intelligence (AI) infrastructure. Its CoreWeave Cloud Platform is an integrated solution that is purpose-built for running AI workloads such as model training and inference. Its solutions include infrastructure services, managed software services, and application software services. Its Infrastructure Services provide its customers with access to advanced graphics processing unit (GPU) and central processing unit (CPU) compute, highly performant networking, and storage. Its Managed Software Services include CKS, a flexible virtual private cloud and a bare metal service that runs kubernetes directly on high-performance servers. Its Application Software Services build on top of its infrastructure and managed software services, integrating additional tools.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Backblaze Secures $335M Deal with CoreWeave for AI Storage
- Deal Value: Backblaze has secured a five-year deal worth $335 million with CoreWeave to enhance its managed storage infrastructure, which is crucial for optimizing data placement across performance tiers, thereby significantly boosting Backblaze's competitive edge in the AI storage market.
- Stock Reaction: Following the announcement, Backblaze's shares surged 30% in early trading on Tuesday, reflecting strong market confidence in its growth potential, while CoreWeave's shares dipped about 2%, indicating a more cautious investor sentiment regarding its future outlook.
- Market Opportunity: Backblaze estimates a $14 billion opportunity in the neocloud storage market by 2030, having engaged with most top neoclouds and signed multiple six-, seven-, and eight-figure deals, showcasing its robust positioning in the rapidly growing AI-driven infrastructure sector.
- Industry Context: As AI workloads increasingly demand efficient storage solutions, Backblaze's HDD-based storage infrastructure is deemed foundational for AI workflows, with CEO Gleb Budman emphasizing the critical role of storage in AI computing, further solidifying its market position.
See More
CoreWeave and Backblaze Strike Storage Deal
- Storage Agreement Finalized: Backblaze has signed a $335 million, five-year storage deal with CoreWeave, significantly expanding CoreWeave's storage capacity to multi-exabyte levels while ensuring high-performance resources for heavy AI workloads, thereby addressing the growing infrastructure demands.
- Surge in Market Demand: As artificial intelligence is increasingly adopted across industries, the global AI data center market is projected to reach $810.6 billion by 2033, with a compound annual growth rate of 23.9%, indicating that cloud platforms will continue to drive market growth and reflecting the urgent need for storage solutions.
- Positive Stock Market Reaction: Following the agreement, Backblaze's shares surged 25%, on track for their highest level in nearly seven months, demonstrating investor confidence in its potential within the rapidly growing AI cloud storage market.
- Seamless Code Expansion: Current CoreWeave AI Object Storage customers can immediately utilize the expanded storage services without any code updates, enhancing customer experience and strengthening market competitiveness through this seamless integration.
See More
Backblaze Secures $335M Strategic Agreement with CoreWeave to Enhance AI Storage Solutions
- Strategic Partnership: Backblaze has entered into a $335 million agreement with CoreWeave to provide cost-efficient storage capacity for CoreWeave's managed storage infrastructure, optimizing data placement across performance tiers to meet AI workload demands.
- Storage Technology Support: Backblaze's technology supports HDD storage tiers, allowing customers using CoreWeave's AI Object Storage to access new service tiers without code modifications, significantly enhancing customer experience and service flexibility.
- Market Demand Response: As the AI lifecycle increasingly relies on efficient data storage and movement, Backblaze's solutions will enable businesses to effectively handle tasks such as training, inference, and data preparation, thereby improving overall operational efficiency and competitiveness.
- Customer Base Expansion: Backblaze currently serves over 100,000 customers and, with its extensive experience in operating large-scale storage infrastructure, is further solidifying its leadership position in the AI storage market, which is expected to attract more enterprise clients.
See More
CoreWeave CEO Sells 307,692 Shares, Stock Drops 7.03%
- Insider Selling: CoreWeave's CEO Michael Intrator sold 307,692 Class A shares on June 16 for $35.9 million, resulting in a 7.03% drop in stock price, indicating market sensitivity to insider selling.
- Price Range: The shares were sold at prices between $107.91 and $119.44 each, suggesting executives are cashing out at high valuations, which may raise investor concerns about the company's future performance.
- Pre-Arranged Sales: Intrator's sale was executed under a Rule 10b5-1 trading plan adopted on November 20, 2025, indicating that the transactions were pre-scheduled rather than discretionary, which may mitigate questions about his motives.
- Founders' Selling Trend: Since the IPO lockup expiration in August 2025, CoreWeave's founders have sold over $2.3 billion in stock, with Chief Strategy Officer Brian Venturo accounting for more than $1.1 billion, reflecting a potential decline in executive confidence regarding the company's outlook.
See More
Market Volatility Analysis of Tech Companies
- Executive Departures Impact: Alphabet's shares fell nearly 6% following the departure of two high-profile executives, John Jumper from DeepMind and Noam Shazeer from Google, indicating potential risks in talent retention that could affect the company's innovation capabilities.
- Earnings Restatement Shock: AeroVironment's stock tumbled 11% after the company announced it would restate earnings for the three and nine months ending January 31 due to an error in goodwill impairment analysis, which may lead to decreased investor confidence.
- Product Launch Boost: Super Micro Computer's shares surged almost 14% after announcing the delivery of its Data Center Building Block Solutions Blueprint based on the Nvidia Vera Rubin NVL4 platform, aimed at accelerating AI applications in scientific research, showcasing the company's strategic positioning in the AI sector.
- Acquisition News Incentive: Apogee Therapeutics' stock soared nearly 47% after AbbVie announced it would acquire the company for $135.11 per share, totaling $10.9 billion, reflecting AbbVie's commitment to expanding its presence in the respiratory space while enhancing Apogee's market value.
See More
Nebius and CoreWeave Stocks Surge Ahead of Nasdaq-100 Inclusion
- Stock Performance: In 2026, NBIS stock surged by 240%, currently trading at a record high, while CRWV is 14% below its all-time high, indicating strong market confidence in both stocks with analysts expecting further upside.
- Nasdaq-100 Inclusion: NBIS and CRWV are set to begin trading on the Nasdaq-100 on Monday, with their prices rallying by 34% and 24% respectively following the inclusion announcement, highlighting the buying demand from index-tracking funds and ETFs that typically boosts stock prices.
- Expansion Plans Fuel Growth: Nebius announced plans to establish three data centers in the UK with a total investment of £1.7 billion ($2.3 billion), alongside a 310-megawatt center in Finland and a 240-megawatt center in France, which will further solidify its market position and drive future growth.
- Analyst Ratings Optimistic: Currently, 23 out of 36 analysts rate CRWV as 'Buy' or higher, with an average price target of $140.18 implying nearly 20% upside, while NBIS shows a 15% downside risk, reflecting differing market expectations for the two stocks.
See More
Backblaze Secures $335M Deal with CoreWeave for AI Storage
- Deal Value: Backblaze has secured a five-year deal worth $335 million with CoreWeave to enhance its managed storage infrastructure, which is crucial for optimizing data placement across performance tiers, thereby significantly boosting Backblaze's competitive edge in the AI storage market.
- Stock Reaction: Following the announcement, Backblaze's shares surged 30% in early trading on Tuesday, reflecting strong market confidence in its growth potential, while CoreWeave's shares dipped about 2%, indicating a more cautious investor sentiment regarding its future outlook.
- Market Opportunity: Backblaze estimates a $14 billion opportunity in the neocloud storage market by 2030, having engaged with most top neoclouds and signed multiple six-, seven-, and eight-figure deals, showcasing its robust positioning in the rapidly growing AI-driven infrastructure sector.
- Industry Context: As AI workloads increasingly demand efficient storage solutions, Backblaze's HDD-based storage infrastructure is deemed foundational for AI workflows, with CEO Gleb Budman emphasizing the critical role of storage in AI computing, further solidifying its market position.
See More
CoreWeave and Backblaze Strike Storage Deal
- Storage Agreement Finalized: Backblaze has signed a $335 million, five-year storage deal with CoreWeave, significantly expanding CoreWeave's storage capacity to multi-exabyte levels while ensuring high-performance resources for heavy AI workloads, thereby addressing the growing infrastructure demands.
- Surge in Market Demand: As artificial intelligence is increasingly adopted across industries, the global AI data center market is projected to reach $810.6 billion by 2033, with a compound annual growth rate of 23.9%, indicating that cloud platforms will continue to drive market growth and reflecting the urgent need for storage solutions.
- Positive Stock Market Reaction: Following the agreement, Backblaze's shares surged 25%, on track for their highest level in nearly seven months, demonstrating investor confidence in its potential within the rapidly growing AI cloud storage market.
- Seamless Code Expansion: Current CoreWeave AI Object Storage customers can immediately utilize the expanded storage services without any code updates, enhancing customer experience and strengthening market competitiveness through this seamless integration.
See More
Backblaze Secures $335M Strategic Agreement with CoreWeave to Enhance AI Storage Solutions
- Strategic Partnership: Backblaze has entered into a $335 million agreement with CoreWeave to provide cost-efficient storage capacity for CoreWeave's managed storage infrastructure, optimizing data placement across performance tiers to meet AI workload demands.
- Storage Technology Support: Backblaze's technology supports HDD storage tiers, allowing customers using CoreWeave's AI Object Storage to access new service tiers without code modifications, significantly enhancing customer experience and service flexibility.
- Market Demand Response: As the AI lifecycle increasingly relies on efficient data storage and movement, Backblaze's solutions will enable businesses to effectively handle tasks such as training, inference, and data preparation, thereby improving overall operational efficiency and competitiveness.
- Customer Base Expansion: Backblaze currently serves over 100,000 customers and, with its extensive experience in operating large-scale storage infrastructure, is further solidifying its leadership position in the AI storage market, which is expected to attract more enterprise clients.
See More
CoreWeave CEO Sells 307,692 Shares, Stock Drops 7.03%
- Insider Selling: CoreWeave's CEO Michael Intrator sold 307,692 Class A shares on June 16 for $35.9 million, resulting in a 7.03% drop in stock price, indicating market sensitivity to insider selling.
- Price Range: The shares were sold at prices between $107.91 and $119.44 each, suggesting executives are cashing out at high valuations, which may raise investor concerns about the company's future performance.
- Pre-Arranged Sales: Intrator's sale was executed under a Rule 10b5-1 trading plan adopted on November 20, 2025, indicating that the transactions were pre-scheduled rather than discretionary, which may mitigate questions about his motives.
- Founders' Selling Trend: Since the IPO lockup expiration in August 2025, CoreWeave's founders have sold over $2.3 billion in stock, with Chief Strategy Officer Brian Venturo accounting for more than $1.1 billion, reflecting a potential decline in executive confidence regarding the company's outlook.
See More
Market Volatility Analysis of Tech Companies
- Executive Departures Impact: Alphabet's shares fell nearly 6% following the departure of two high-profile executives, John Jumper from DeepMind and Noam Shazeer from Google, indicating potential risks in talent retention that could affect the company's innovation capabilities.
- Earnings Restatement Shock: AeroVironment's stock tumbled 11% after the company announced it would restate earnings for the three and nine months ending January 31 due to an error in goodwill impairment analysis, which may lead to decreased investor confidence.
- Product Launch Boost: Super Micro Computer's shares surged almost 14% after announcing the delivery of its Data Center Building Block Solutions Blueprint based on the Nvidia Vera Rubin NVL4 platform, aimed at accelerating AI applications in scientific research, showcasing the company's strategic positioning in the AI sector.
- Acquisition News Incentive: Apogee Therapeutics' stock soared nearly 47% after AbbVie announced it would acquire the company for $135.11 per share, totaling $10.9 billion, reflecting AbbVie's commitment to expanding its presence in the respiratory space while enhancing Apogee's market value.
See More
Nebius and CoreWeave Stocks Surge Ahead of Nasdaq-100 Inclusion
- Stock Performance: In 2026, NBIS stock surged by 240%, currently trading at a record high, while CRWV is 14% below its all-time high, indicating strong market confidence in both stocks with analysts expecting further upside.
- Nasdaq-100 Inclusion: NBIS and CRWV are set to begin trading on the Nasdaq-100 on Monday, with their prices rallying by 34% and 24% respectively following the inclusion announcement, highlighting the buying demand from index-tracking funds and ETFs that typically boosts stock prices.
- Expansion Plans Fuel Growth: Nebius announced plans to establish three data centers in the UK with a total investment of £1.7 billion ($2.3 billion), alongside a 310-megawatt center in Finland and a 240-megawatt center in France, which will further solidify its market position and drive future growth.
- Analyst Ratings Optimistic: Currently, 23 out of 36 analysts rate CRWV as 'Buy' or higher, with an average price target of $140.18 implying nearly 20% upside, while NBIS shows a 15% downside risk, reflecting differing market expectations for the two stocks.
See More
