Cerebras Systems, an AI chip manufacturer, revealed its filing for an initial public offering in the United States on Friday, bringing the Nvidia rival closer to the public markets amid growing optimism surrounding a broader revival of the listing market.
This marks the company’s second IPO attempt after withdrawing a previous IPO application in October, shortly after a fundraising round of over a billion dollars that valued the company at around $8 billion.
Cerebras aims to challenge Nvidia with a different type of AI chip that does not rely on high-bandwidth memory, a major bottleneck in the industry. The company focuses on inference, the process by which AI systems respond to user requests, and has tied much of its growth to OpenAI, including a multi-year $20 billion agreement where the creator of ChatGPT will deploy 750 megawatts of Cerebras chips.
The IPO adds to signs that the IPO market is regaining momentum after a brief slowdown in March due to volatility from geopolitical tensions and the decline in tech stock values dampening investor appetite.
Analysts expect AI-related companies to lead listings in the tech sector, due to forecasts of significant growth linked to broader adoption of AI.
Context: Cerebras Systems has filed for an IPO in the U.S. after withdrawing a previous application last year.
Fact Check: Cerebras aims to challenge Nvidia with a different type of AI chip that does not rely on high-bandwidth memory.
Revenue for Cerebras reached $510 million for the year ended December 31, up from $290.3 million the previous year. The company reported earnings of $1.38 per share, compared to a loss of $9.90 per share the year before.
Based in Sunnyvale, California, Cerebras is known for its wafer-scale engine chips designed to accelerate the training and inference of large AI models to compete with Nvidia and other AI chip manufacturers. The company plans to list on Nasdaq under the symbol “CBRS” with Morgan Stanley, Citigroup, Barclays, and UBS as the main underwriters for the offering.
