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CoreWeave's Slump Puts Spotlight on Debt Behind AI Boom

CoreWeave's falling share price is drawing attention to the heavy borrowing that has fuelled the broader AI boom, with Reuters highlighting how debt-financed expansion across the AI infrastructure sector is coming under scrutiny. Investors are increasingly focused on whether companies that have loaded up on debt to build data centres and buy chips can sustain growth if returns disappoint.

Why now: CoreWeave's share decline has raised broader investor concerns about debt-funded AI infrastructure spending.

CoreWeaveReuters

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