Bloom Energy has announced a partnership with AI cloud computing company CoreWeave to provide stable power support for its data center in Illinois. Following the announcement, Bloom Energy's stock rose by 1.3%.

Headquartered in San Jose, California, Bloom Energy specializes in producing solid oxide fuel cells that can use multiple fuels, including natural gas, biogas, and hydrogen. These fuel cells will be deployed at CoreWeave’s data center to meet the high power demands of its dense GPU workloads, with expected deployment in the third quarter of 2025.

After the announcement, Bloom Energy’s stock rose by 5% on Wednesday, marking a six-day streak of increases, totaling a 29.1% rise. Trading volume reached 10.95 million shares, more than double the average trading volume.

Morgan Stanley analyst Andrew Percoco noted that Bloom Energy is a key player in the "Powering AI" theme, with its potential previously underestimated by the market.

Truist analyst Jordan Levy suggested that while the impact on revenue for 2025 might be limited, the partnership holds significant growth potential for Bloom.

Oppenheimer analyst Colin Rusch also commented that the partnership with CoreWeave could bring Bloom a new major client, offering substantial growth opportunities.

The power demand for AI queries is nearly ten times that of Google searches, and AI companies need to rapidly expand operations and ensure a large power supply. Major AI companies like Alphabet and Microsoft are keen on utilizing as much clean energy as possible to reduce climate impact.

However, data centers must operate around the clock, and some intermittent clean energy sources cannot provide the required stability. Fuel cells thus become an ideal choice for AI data centers due to their ability to deliver reliable power supply.

Although CoreWeave is not widely known, it has quickly risen in the AI services sector. CoreWeave operates over 45,000 Nvidia GPUs, scaling up to compete with cloud computing giants like Amazon, and continues to expand its services with support from Nvidia and major investors.

CoreWeave’s Chief Strategy Officer, Brian Venturo, stated that this partnership will enhance the company’s ability to deliver unparalleled performance and reliability to its customers while advancing its sustainability goals.