Reuters reported that CoreWeave bond yields rose to about 15% in the week ended Oct. 16, bringing fresh attention to credit risk in artificial-intelligence infrastructure financing.
The bonds were issued in June with a reported yield of 9.675%. Reuters also reported a decline in CoreWeave shares. Separately, Axios said the company’s five-year credit-default swaps (CDS) neared 1,100 basis points on Oct. 15.
CoreWeave’s second-quarter Form 10-Q shows $35.6 billion in total indebtedness and $10 billion in undrawn availability under specified facilities as of June 30. Revenue for the quarter rose 112% from a year earlier to $2.575 billion. The company recorded a $626 million net loss and $640 million in net interest expense.
The financing demands extend beyond CoreWeave. J.P. Morgan Asset Management says the free cash flow of hyperscalers, the largest cloud companies, no longer covers their infrastructure spending. It estimates that the full data-center buildout, including developers and semiconductor investment, could cost roughly $5 trillion through 2030, with about $2 trillion financed in investment-grade credit markets.
The Economist estimated that companies across the AI supply chain, including power utilities, had borrowed nearly $850 billion so far in 2026. It put their combined balance-sheet debt at more than $3 trillion.
Some commitments take forms other than borrowing. Meta’s second-quarter Form 10-Q shows a 20% membership interest in a Louisiana data-center venture. Meta reported an initial lease commitment of about $12.31 billion, with leases beginning in 2029, and residual-value guarantees with a threshold of about $28 billion that declines over time. It put its maximum exposure to loss from the venture at $46.03 billion as of June 30. That figure includes its investment, future funding and lease commitments, and the guarantee threshold; it is not a measure of current debt.
John Han, a portfolio manager at F/m Investments, told Reuters his firm was reassessing its AI infrastructure exposure. Reuters reported that one of the firm’s index-tracking exchange-traded funds holds unsecured CoreWeave bonds.
