Core Viewpoint - CoreWeave and DigitalOcean are both positioned to benefit from the growth of the AI market, with CoreWeave showing stronger investor confidence and stock performance compared to DigitalOcean [1][2] Company Overview - CoreWeave transitioned from a cryptocurrency mining company to a provider of cloud-based GPUs for AI tasks, investing approximately $100 million in Nvidia's H100 GPUs and expanding from 3 to 33 data centers in less than a year [4] - DigitalOcean offers a cloud infrastructure platform similar to AWS and Azure but focuses on smaller businesses, recently acquiring Paperspace to add cloud-based GPUs, and operates 15 data centers [5] Growth Comparison - From 2022 to 2024, CoreWeave's revenue is projected to grow at a CAGR of 990%, increasing from $16 million to $1.9 billion, while DigitalOcean's revenue is expected to grow at a CAGR of 16%, from $576 million to $781 million [7] - CoreWeave's rapid growth is attributed to its focus on AI-specific services, securing large clients like Microsoft and OpenAI, and a willingness to incur debt for expansion, whereas DigitalOcean serves smaller clients and prioritizes profit over aggressive growth [8][9][10] Future Projections - Analysts forecast CoreWeave's revenue to grow at a CAGR of 106% from 2024 to 2027, reaching $16.7 billion, while DigitalOcean's revenue is expected to grow at a CAGR of 14% to $1.2 billion [11] - CoreWeave's market cap is $63.5 billion, trading at 13 times this year's sales, while DigitalOcean's market cap is $2.7 billion, trading at 3 times this year's sales, reflecting its slower growth rate [12][13] Investment Outlook - CoreWeave is viewed as a more attractive investment in the cloud and AI markets due to its aggressive growth strategy, despite the associated risks, compared to DigitalOcean's conservative approach [14]