AI Chipmaker Cerebras Files for $800 Million IPO to Compete with Nvidia

Oct 1, 2024, 12:47 AM

AI chipmaker Cerebras Systems has filed for an initial public offering (IPO) as it seeks to compete with industry leader Nvidia in the artificial intelligence computing market. The Silicon Valley-based company plans to trade on the Nasdaq under the ticker symbol CBRS. Cerebras reported a net loss of $66.6 million on $136.4 million in sales for the first half of 2024, marking a threefold revenue jump compared to the previous year. Notably, 87% of its revenue comes from Abu Dhabi-based G42, which has committed to purchasing $335 million worth of Cerebras stock by April 2025, giving it a stake of over 5%. The company designs processors for AI training and inference, and its systems are used to power, cool, and feed the processors data. Cerebras aims to raise approximately $800 million through the IPO, with a valuation expected to be between $7 billion and $8 billion. Foundation Capital and Benchmark are the largest shareholders.