The agreement assesses the firm’s worth at $23 billion following the capital raise, positioning Cerebras as a leading privately held entity prior to its anticipated public offering. Tiger Global Management spearheaded the funding round, with backing from additional investors encompassing Benchmark , Fidelity Management & Research Co., and Advanced Micro Devices Inc.
Cerebras is part of an increasing cohort of enterprises aiming to contest Nvidia’s leadership within the artificial intelligence processor space. Chief Executive Officer Andrew Feldman states that the company’s technology can operate AI models considerably faster than Nvidia’s platforms. Cerebras also renders distant computational solutions to customers like Meta Platforms Inc., International Business Machines Corp., and Mistral AI.
In the prior month, OpenAI finalized a multi-year arrangement to employ Cerebras’ technology to furnish 750 megawatts of computational capacity to expedite AI models. The infrastructure will be implemented gradually “through 2028” and will be situated at Cerebras’ locations. Individuals acquainted with the details suggest the accord is valued at over $10 billion. The company’s updated assessment is notably greater than Cerebras’ prior value of $8.1 billion from September. Since then, Nvidia has entered a licensing agreement with the emergent company Groq and obtained a sizable segment of its chip design personnel, intensifying investor curiosity in the AI chip industry.
Source: Bloomberg