CoreWeave seeks truce with Texas Governor-elect Hinojosa

CoreWeave Inc., an artificial intelligence cloud provider, has reached out to Texas Governor-elect Gina Hinojosa to collaborate on data center regulations following a severe market sell-off. Co-founder and CEO Michael Intrator sought to align the company with Hinojosa's strict new platform, emphasizing their support for responsible completion of permitted projects and clear, durable standards for future development.

The overture comes at a precarious financial moment for CoreWeave, as its equity and corporate bonds have suffered a brutal sell-off due to credit market anxiety and political shifts in Texas. Hinojosa has called for a statewide moratorium on new AI data center construction to protect local water supplies and the electricity grid, which has exacerbated fears about the company's highly leveraged business model and the potential impact of regulatory roadblocks on its capital-intensive expansion plans.

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