Though the market largely lambasted the deal (CoreWeave and Core Scientific were down more than 3% and 17%, respectively, on Monday following the announcement), the acquisition is the latest in a line of big-ticket AI M&A announcements this year.

Artificial intelligence hyperscaler CoreWeave said Monday it will acquire Core Scientific, a leading data center infrastructure provider. It is an all-stock deal valued at approximately $9 billion. The deal strengthens CoreWeave's position in the AI arms race by bringing critical infrastructure in-house.

The $9 billion deal is a play on AI power needs, but one analyst thinks the purchase price undervalues Core Scientific’s business and potential.