AI chipmaker Cerebras targets $3.5 billion in IPO backed by massive OpenAI partnership

OpenAI's cozy partner Cerebras is on track for a blockbuster IPO | TechCrunch

In the long-running saga that is Cerebras Systems's IPO, the finish line is finally in sight. The AI chipmaker said on Monday that it is preparing to sell 28 million shares at $115 to $125 a share. This would raise $3.5 billion and give it a $26.6 billion market cap at the high end. That would be a nice bump in just a couple of months for the late investors who piled into its $1 billion Series H at a $23 billion valuation in February. It would also be a boon to OpenAI and a few of its executives. Should Cerebras pull off an initial public offering at or above the high end, this will be the largest tech IPO of 2026 so far. It could also prove the appetite for even bigger blockbuster offerings in the wings, like SpaceX and possibly OpenAI and Anthropic. Cerebras offers an AI-specific chip called the Wafer-Scale Engine 3 that challenges GPU-based AI chips. Cerebras says its chip is faster for inference while using less power than such competitors. Inference is the compute needed to process user prompts. A long list of top-name investors stands to gain from a healthy IPO. Rick Gerson's Alpha Wave; Benchmark (via partner Eric Vishria); Lior Susan's Eclipse; Fidelity; and Foundation Capital (via partner Steve Vassallo) are its largest shareholders with more than a 5% stake, according to the company's SEC filing. The company says its list of investors also includes 1789 Capital, Abu Dhabi Growth Fund, Abu Dhabi's G42, Alpha Wave Global, Altimeter, AMD, Atreides Management, Coatue, Moore Strategic Ventures, Tiger Global, Valor Equity Partners, and VY Capital. Plus, Cerebras names on its website a long list of angel investors, too. These include OpenAI founder and CEO Sam Altman, OpenAI founder and president Greg Brockman, former OpenAI chief scientist (now founder of his own AI startup) Ilya Sutskever, OpenAI board member and Quora CEO Adam D'Angelo, Sun Microsystems and Arista co-founder Andy Bechtolsheim, Intel CEO Lip-Bu Tan, and several other tech luminaries. While Sam Altman's stake wasn't large enough to disclose in the SEC filings, he was quoted in its S-1. That's because Cerebras' relationship with OpenAI is even more noteworthy than its angel investors. This relationship was even presented as evidence by Elon Musk in his lawsuit with OpenAI. OpenAI had at one point considered acquiring Cerebras, according to legal filings by Musk's attorneys that claim he was unaware of all of the OpenAI execs' personal investments in the company. That deal never happened, but OpenAI did become one of Cerebras' largest customers. In fact, in December, OpenAI loaned Cerebras $1 billion, secured by warrants that allow OpenAI to buy over 33 million shares, the S-1 discloses. So while OpenAI is not a large shareholder now, it could become one. Cerebras had hoped to go public in 2024 but was delayed due to a federal review of an investment from Abu Dhabi-based cloud provider G42, which was (and still is, the chip company says) a major customer. That IPO attempt was ultimately shelved. A year later, Cerebras sought to raise more cash. In September, it raised $1.1 billion at an $8.1 billion post-money valuation led by Fidelity and Atreides. A few months later, Cerebras signed its new multi-year agreement worth more than $10 billion with OpenAI that included the loan and warrants. In February, it raised the $1 billion Series H, its last mega round. Should investors eat up the IPO, then OpenAI and its executives stand to gain in more ways than one. That seems likely. Banks are already fielding $10 billion worth of orders for the $3.5 billion worth of shares on offer, Bloomberg reports. That kind of demand indicates that the company will likely price its shares even higher than this announced range, raising even more cash for itself and more value for its investors.

AI Chipmaker Cerebras Is Said to Target Up to $4 Billion in IPO

Details of the listing including size, valuation and timing could change, the people said. Cerebras Systems Inc. is seeking to raise as much as $4 billion in its initial public offering, according to people familiar with the matter, as demand for the artificial intelligence chipmaker and data center operator's shares heats up. The Sunnyvale, California-based company is targeting a valuation of about $40 billion, the people said, asking not to be identified as the information isn't public. Cerebras plans to begin formal marketing for the IPO as soon as Monday, the people said. The banks on the deal have already received indications of interest in excess of $10 billion worth of potential orders, the people said. It comes as shares of semiconductor stocks have soared, with the benchmark Philadelphia Stock Exchange Semiconductor Index rising 50% this year. Details of the listing including size, valuation and timing could change, the people said. A Cerebras representative declined to comment. The new target represents an increase from Cerebras' earlier plans. The company was seeking to raise about $2 billion in the IPO, people familiar with the matter said in March. Cerebras, which had lodged confidential paperwork months after withdrawing its previous registration, filed publicly last month. Investors and megacap technology companies are rapidly accelerating their multibillion-dollar investments into building AI infrastructure. Cerebras is part of a growing cohort seeking to challenge market leader Nvidia Corp. with giant chips that can handle massive amounts of data in one go. Chief Executive Officer Andrew Feldman has said that Cerebras' hardware runs AI models much faster than Nvidia. It also operates its own data centers. In February, Cerebras raised about $1 billion in a funding round that valued the firm at $23 billion including money raised. The funding was led by Tiger Global Management with participation from investors including Benchmark, Fidelity Management & Research Co., and Advanced Micro Devices Inc. The fresh valuation was a significant increase from a September round that valued the company at $8.1 billion. Read more on IPOs: For the latest news on equity capital markets activity in the US, Canada and Latin America, follow the channel or visit NI BFWECMUS. To subscribe to ECM Watch, Bloomberg's daily roundup of news from around the region, click here. Cerebras had been reliant on business from G42, an Abu Dhabi AI firm that provided 24% of its revenue in 2025, down from 85% in the previous year, its most recent filing with the US Securities and Exchange Commission shows. The relationship led to a review by the Committee on Foreign Investment in the US. Cerebras said last March that all open issues with CFIUS had been resolved. G42 is not listed as a 5% shareholder in the current filing. The offering is being led by Morgan Stanley, Citigroup Inc., Barclays Plc and UBS Group AG. The company plans for its shares to trade on the Nasdaq Global Select Market under the symbol CBRS.

AI chipmaker Cerebras targets $115-$125 share price in US IPO, source says

May 4 (Reuters) - AI chipmaker Cerebras Systems, a rival to Nvidia <NVDA.O, opens new tab>, is scheduled to kick off its IPO roadshow on Monday, with shares expected to be priced between $115 and $125, a source familiar with the matter told Reuters. This marks Cerebras' second attempt to go public after withdrawing a previous IPO filing ⁠last October. Cerebras did not immediately respond to Reuters request for a comment. The company now aims to list on the Nasdaq under the ticker symbol "CBRS". According to a Bloomberg News report, opens new tab last week, Cerebras could raise up to $4 billion, targeting a valuation of around $40 billion. The Sunnyvale, California-based company is known for its wafer-scale engine chips, ⁠designed to speed up the training and inference of large AI models, placing it in direct competition with Nvidia and other AI hardware firms. The company's revenue rose to $510 ⁠million in the year ended December 31, up from $290.3 million a year earlier. It also reported a profit of $1.38 ⁠per share, a turnaround from a loss of $9.90 per share a year earlier. Morgan Stanley, Citigroup, Barclays ⁠and UBS are the lead underwriters for the offering. Reporting by Echo Wang in New York and Rhea Rose Abraham in Bengaluru; Editing by Sherry Jacob-Phillips Our Standards: The Thomson Reuters Trust Principles., opens new tab

AI chipmaker Cerebras targets $3.5 billion raise in IPO

Artificial intelligence chipmaker Cerebras aims to raise as much as $3.5 billion by going public on the Nasdaq. The company is looking to sell 28 million shares, for $115 to $125 each, according to an updated prospectus it filed on Monday. At that range, Cerebras could be worth up to $26.6 billion in the initial public offering, based on shares outstanding. In February, the company announced a venture round that gave it a $23 billion valuation, with Advanced Micro Devices among its investors. Relatively few technology companies have gone public since central banks raised interest rates in 2022 to fight rising prices, making investors less interested in unprofitable names. But with the ascent of generative AI products such as OpenAI's ChatGPT, investors have become rabid about betting on companies that benefit from the trend. Money-losing Cerebras competitor CoreWeave, which rents out Nvidia graphics processing units as a cloud service, raised $1.5 billion in an IPO last year. Cerebras' chips are an alternative to Nvidia's popular GPUs. Cerebras sought to go public in 2024 but later withdrew the paperwork, as its business model was shifting away from selling hardware and toward operating a cloud service based on its own chips. In April, Cerebras filed for an IPO for a second time. In January, Cerebras said it would provide up to 750 megawatts of AI computing power to OpenAI through 2028 in a transaction worth over $20 billion. The company's fourth-quarter revenue grew about 76% year over year to $510 million, and it showed $87.9 million in net income for the period. Andrew Feldman, Cerebras' co-founder and CEO, is not selling shares in the IPO. He will own 10.3 million shares after the IPO that would be worth up to $1.28 billion at the high end of the range, according to the filing. The company has an option to sell an additional 4.2 million shares to underwriters after the IPO that would yield another $525 million in proceeds at the high end of the range.

Cerebras files updated IPO terms: $3.5bn raise at $26.6bn valuation

Three days after suggesting it might target up to $4bn at $40bn, the AI chipmaker has marketed 28 million shares at $115-$125 each, lining the deal up with its February private valuation rather than above it. Cerebras Systems was preparing to seek up to $4bn at a roughly $40bn valuation in its long-awaited initial public offering. On Monday, the company filed an updated prospectus that priced the deal more cautiously: 28 million shares at a marketed range of $115 to $125 each, raising as much as $3.5bn at the high end. At that range, the implied valuation lands closer to $26.6bn, well below the figure circulating last week and roughly in line with the $23bn private mark Cerebras carried after its February Series H. It is, by any reading, a more grounded number. Whether it is grounded enough is the question the order book will answer. Per the updated prospectus filed on Monday, Cerebras intends to list on the Nasdaq Global Select Market under the ticker CBRS, with Morgan Stanley, Citigroup, Barclays and UBS Investment Bank as joint book-running managers. The 28-million-share offering carries an underwriter option of an additional 4.2 million shares, which would lift gross proceeds by roughly $525m at the top of the range. CNBC notes that chief executive Andrew Feldman, the company's co-founder, is not selling shares in the IPO; he will hold 10.3 million shares post-deal, worth as much as $1.28bn at the high end. The financial profile underlying the offering is, by AI-hardware standards, well-developed. Cerebras's most recent quarter showed revenue up roughly 76 per cent year-on-year to $510m, with $87.9m in net income. The company's Master Relationship Agreement with OpenAI, signed in January, promises up to 750 megawatts of inference capacity through 2028 in a contract Cerebras has previously valued at more than $20bn over its term. That deal, more than any single demonstration of wafer-scale technology, has anchored the IPO narrative since. The shift from a possible $4bn raise at $40bn to a marketed $3.5bn at roughly $26.6bn is not, by IPO standards, dramatic. It is also not nothing. There are three plausible readings. The first is execution. Filing at a wider range and a more sober valuation reduces the risk of an undersubscribed book on launch day, and it gives the deal room to price up if demand is strong. After two years in which AI hardware listings have priced below initial ranges as often as above, that discipline is sensible. The second is market context. AI software multiples have been compressing through April, with Palantir down roughly 30 per cent year-to-date and Citi cutting price targets across the AI-platform space. While Cerebras is hardware rather than software, hardware listings have not been immune to that broader recalibration. Pricing inside the now-public reference points for memory and compute is, again, sensible. The third is concentration risk. Public-market investors, in their diligence on the prospectus, will have noted that OpenAI is the dominant customer in the deal. The economics, if OpenAI executes as planned, are formidable. If OpenAI's compute demand recalibrates, even modestly, Cerebras's near-term revenue trajectory recalibrates with it. That risk does not go away at $26.6bn; it is, however, easier to underwrite at that figure than at $40bn. If Cerebras prices at the high end of the range, the offering would be one of the largest US technology IPOs of 2026, ahead of any new entrant in AI silicon since Nvidia's reignited public market presence three years ago. Reuters and IFR have flagged the deal as a roughly $3bn raise in Nasdaq IPO terms; the precise number will depend on whether the underwriter overallotment is exercised and on the final pricing. Either way, this is the largest first-day public capital event in dedicated AI training and inference hardware to date. It would also be a public test of a thesis Cerebras has built carefully over a decade: that its wafer-scale chip, an architecturally radical alternative to packing many smaller GPUs onto a board, is now commercially defensible at scale. The OpenAI contract is the most visible vote of confidence in that thesis. The IPO, if it prices in line, is the second. The road from filing to first trade is not a formality. Cerebras's earlier IPO attempt, in 2024, collapsed after the Committee on Foreign Investment in the United States opened a review of G42's stake in the company; the eventual restructuring of that stake into non-voting shares cleared the way for the current attempt. Public-market investors will have read that section of the risk factors closely. They will also have noted Cerebras's customer concentration, the extent to which margin will depend on the cost of advanced packaging, and the strategic question of whether Nvidia's next-generation accelerators erode the use cases Cerebras's wafer-scale design currently serves best. None of those is fatal. They are, however, the substance behind the lower valuation. Cerebras has filed a serious prospectus into a market that is, just at the moment, taking AI hardware more seriously than AI software. The rest is up to the order book.

AI chipmaker Cerebras targets up to $4bn IPO at $40bn valuation

After a CFIUS-induced retreat in 2024, the wafer-scale chip startup is back with an OpenAI deal in its pocket and a sharper bet against Nvidia. Eighteen months ago, Cerebras Systems looked like a cautionary tale. The Sunnyvale-based AI chip startup had filed for an initial public offering in September 2024, only to see its plans stall under a national-security review of its largest customer. By October 2025, the registration was withdrawn. The company, which makes the largest commercial silicon chip in the world, was not so much beaten as quietly removed from the field. It is back now, and considerably more ambitious. On Friday, Bloomberg reported that Cerebras is seeking to raise as much as $4bn in its IPO, at a valuation of roughly $40bn, citing people familiar with the matter. The figure is striking. It is nearly five times the $8.1bn private-market valuation Cerebras commanded as recently as September 2025, and well above the $22bn to $25bn band industry analysts had expected when the company refiled its S-1 with the US Securities and Exchange Commission on April 17. Cerebras intends to list on the Nasdaq Global Select Market under the ticker CBRS, with Morgan Stanley, Citigroup, Barclays, and UBS Investment Bank as joint book-running managers. If pricing holds, this would be the first major AI hardware listing of 2026 and one of the largest US technology debuts in recent memory. Much of the new appetite traces to a single contract. In its updated prospectus, Cerebras disclosed a multi-year compute agreement with OpenAI worth more than $10bn over its term, covering up to 750 megawatts of inference capacity through 2028. For a company that booked $510m in revenue in 2025, up 76 per cent on the prior year, the deal is transformative. It also explains, in part, the leap in valuation: Cerebras now has the kind of anchor customer that investors prize above almost any other signal in the AI infrastructure market. The OpenAI agreement does not displace Nvidia, which remains the dominant supplier of the GPUs powering most of the industry's training workloads. But it does give Cerebras a credible foothold in inference, the part of the AI stack where compute is run, not built, and where margin pressure is mounting fastest. The company's wafer-scale processors, physically dozens of times the size of an Nvidia H100, are designed for exactly that workload. Cerebras's first IPO attempt collapsed not over technology but over geopolitics. Abu Dhabi-based G42, an AI conglomerate with prior ties to Chinese partners, had become the company's largest customer and a sizeable shareholder, accounting for 87 per cent of Cerebras's revenue in the first half of 2024. The Committee on Foreign Investment in the United States opened a review of G42's stake, and Cerebras paused its filing. CNBC reported that CFIUS clearance was finally granted on 31 March 2025, after G42 divested its Chinese investments and agreed to restructure its Cerebras holding into non-voting shares. The company's S-1 reflects that hard-won outcome. G42's economic stake remains, but its governance influence has been curtailed. Whether that will satisfy public-market investors who continue to scrutinise foreign exposure in US chip firms is a separate question. The risk factors section of the prospectus dwells on it at some length. Between abandoning its first IPO and refiling, Cerebras did what well-capitalised growth companies do when the public window shuts: it raised more money privately. A $1.1bn Series G in September 2025 valued the company at $8.1bn. A $1bn Series H in February 2026 lifted that figure to $23bn, almost a tripling in five months. The proposed $40bn IPO valuation, if achieved, would represent another 74 per cent step-up in roughly three months. Investors will weigh that climb against the underlying numbers. Revenue of $510m is healthy for a hardware company at this stage, and the OpenAI commitment provides forward visibility that few rivals can match. But Cerebras remains heavily concentrated, both in customer mix and in a single architectural bet. The wafer-scale design that distinguishes it from Nvidia is also what makes it hard to manufacture at volume, and the prospectus, by most analyst readings, does not yet show the gross-margin profile of a company that has solved that problem. Cerebras is filing into a market that has been more cautious than the headlines suggest. Several large AI-adjacent listings in late 2025 priced below their indicative ranges, and bankers have privately warned that public investors are no longer willing to pay private-market multiples for unprofitable infrastructure plays. A $4bn raise at $40bn would test that thesis directly. There is also the question of comparison. Nvidia's market capitalisation has hovered above $3tn for much of the past year, and any new entrant in AI silicon will, fairly or not, be measured against it. Cerebras's pitch is that it is not trying to replace Nvidia in training but to complement it in inference, an argument that has the virtue of being both technically defensible and commercially convenient. If the roadshow goes well, pricing could come in mid-May, according to people familiar with the timetable cited by Investing.com and Bloomberg. If it does not, Cerebras will once again find itself a company whose technology is widely admired and whose path to public markets is less so. The difference this time is that it has an OpenAI contract on the books and a CFIUS letter in the file.

AI chip provider Cerebras seeks to raise $3.5B in IPO at $26.6B valuation - SiliconANGLE

AI chip provider Cerebras seeks to raise $3.5B in IPO at $26.6B valuation Cerebras Systems Inc., a maker of supersized artificial intelligence chips, today disclosed the financial terms of its upcoming public offering. The company hopes to raise as much as $3.5 billion by selling 28 million shares for $115 to $125 apiece. Cerebras' underwriters, the banks entrusted with coordinating its listing, have the option to buy another four million shares. The value of the offering could increase even further if Cerebras boosts its price target, which fast-growing tech firms often do when there's strong investor demand. The chipmaker's sales jumped 76% in 2025 to $290.3 million. Moreover, it turned a $87.9 million profit after losing $485 million a year earlier. Cerebras' improving financial performance is likely one of the factors beyond its ambitious valuation target. The public offering terms the company is seeking would give it a market capitalization of $26.6 billion at the top end, a $3.6 billion increase from February. That month, Cerebras raised $1 billion in funding at a $23 billion valuation. The company sells a wafer-size AI chip called the WSE-3 that is several times the size of Nvidia Corp.'s Blackwell B200 accelerator. One of its main selling points is a 44-gigabyte pool of SRAM. SRAM is a memory variety that features significantly more transistors per square millimeter than standard server DRAM. As a result, it's considerably faster and several orders of magnitude more expensive. Processors include a quartz crystal that moves millions of times per second in response to an electric current. Each movement corresponds to a clock cycle, the basic unit of time in chips. Cerebras says that WSE-3's 900,000 cores can access the onboard SRAM pool with latency of one clock cycle, which is significantly faster than what a standard graphics card offers. The result is faster inference performance. Cerebras ships the WSE-3 as part of a 1.8-ton appliance called the CS-3. Customers can link together multiple CS-3 systems into a cluster with the help of auxiliary devices that are likewise provided by the startup. There's a specialized storage system, MemoryX, that is optimized to hold activations. Those are intermediate data points that an AI model generates while processing a prompt and discards immediately after the calculation is complete. A switch called SwarmX manages the task of moving data between the MemoryX and CS-3 systems in a cluster. Additionally, the switch compresses some of the data to optimize storage hardware utilization. Cerebras filed to go public last month after inking a broad chip supply deal with OpenAI Group PBC. Under the agreement, it will provide the ChatGPT developer with as much as two gigawatts of computing capacity through 2030. Cerebras expects the contract, which is reportedly worth over $20 billion, to account for a substantial portion of its revenue in the coming years.

Cerebras targets $26.6 billion valuation in US IPO as AI chip demand surges

Chipmaker Cerebras is aiming for a significant valuation in its US initial public offering. The company's advanced AI chips are in high demand due to heavy spending on AI infrastructure. This IPO will test investor appetite for AI hardware companies. Cerebras' revenue has grown, and it has turned a profit. The IPO market is showing renewed strength. Nvidia-rival Cerebras is seeking a valuation of as much as $26.62 billion in its US initial public offering, as heavy spending on AI infrastructure lifts demand for advanced chips and fuels investor appetite for the sector. Assembly Elections 2026 Election Results 2026 Live Updates: Who's ahead in which stateWest Bengal Election Results 2026 Live UpdatesTN Election Result 2026 Live Updates Sunnyvale, California-based Cerebras is aiming to sell 28 million shares in the offering, priced between $115 and $125 apiece to raise $3.50 billion in the company's second attempt to go public after withdrawing a previous IPO filing last October. The company is known for its wafer-scale engine chips, designed to speed up the training ⁠and inference ⁠of large AI models, placing it in direct competition with Nvidia and other AI hardware firms. "By bringing massive compute and memory onto a single piece of silicon and integrating it into a purpose-built system and software stack, we deliver exceptional AI speed for customers on premises and via the cloud," Cerebras said. The surge in AI adoption has set off a sharp rise in demand for the high-performance chips needed to train and run complex models, turning semiconductors into a key bottleneck in the technology supply chain. As companies race to build out AI infrastructure such as data centers and cloud services, chipmakers have emerged as some of the biggest ⁠beneficiaries, with Nvidia leading the pack. "Nvidia remains dominant as the market leader for AI inference as well as training infrastructure, however, Cerebras is pitching the idea that there is room for specialist chip companies if they can offer clear ⁠speed or cost advantages," IPOX Research Associate Lukas Muehlbauer said. Earlier this year, Cerebras raised $1 billion in a late-stage funding round, led by tech-investing giant Tiger Global, that valued it at $23 billion. Other high-profile backers of the round included Benchmark, Fidelity Management Altimeter, AMD, and Coatue. It also struck a multi-year deal with OpenAI valued at more than $20 billion, under which the ChatGPT-parent agreed to deploy 750 megawatts of Cerebras' high-speed AI compute. IPO market tailwinds The IPO market has picked up pace again, as investor concerns over Middle East tensions take a back seat and equities trade near record highs. Analysts say sectors such as AI and financials are set to stand out, as they remain relatively insulated from supply chain disruptions and pricing pressures stemming from oil market volatility. A pure-play AI IPO of this scale will likely serve as a test of investor demand for the broader ecosystem, as markets gauge appetite for companies tied directly to the buildout of AI infrastructure. "Cerebras is an ⁠important signal deal for the IPO market as a test of whether public investors are ready to fund high-growth AI infrastructure companies after a softer start to the year," Muehlbauer said. "There is also a race to get deals done before SpaceX. The SpaceX IPO will be so large and high-profile that there are concerns it could absorb a lot of investor attention and capital." Elon Musk's SpaceX filed to go public in New York last month. Cerebras' revenue rose to $510 million in the year ended December 31, up from $290.3 million a year earlier. It also reported a profit of $1.38 per share, a turnaround from a loss of $9.90 per share a year earlier. Morgan Stanley, Citigroup, Barclays and UBS are the lead underwriters for the offering.

Nvidia Rival Cerebras Reloads IPO Bid With $3.5 Billion Goal

Cerebras Systems Inc. is accelerating its push into the public markets to raise capital and strengthen its position in the rapidly expanding AI chip sector. Cerebras IPO Plans And Strong Investor Demand Cerebras Systems plans to raise up to $3.5 billion through an initial public offering, offering 28 million shares priced between $115 and $125 each, according to its SEC filing. The company revived its IPO efforts after withdrawing a previous registration and making a confidential filing earlier this year. Investor interest appears strong, with banks reportedly receiving indications of demand exceeding $10 billion, Bloomberg reported on Monday, citing people familiar with the matter. Positioning As A Challenger To Nvidia CEO Andrew Feldman said the company's hardware enables AI models to run faster than NVIDIA's systems. The company plans to list on the Nasdaq under the ticker "CBRS," though final pricing and share count remain subject to market conditions. Cerebras Expansion, Partnerships And Growth Strategy Cerebras recently secured an $850 million credit facility to expand its data center capacity and support growth. Morgan Stanley, Citigroup, Barclays, and UBS are leading the offering, with shares expected to trade on the Nasdaq Global Select Market under the CBRS ticker. Image via Shutterstock Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.

AI chipmaker Cerebras aims to raise $3.5 billion in US IPO

May 4 (Reuters) - Nvidia-rival Cerebras Systems, which makes chips for artificial intelligence workloads, is aiming to raise $3.5 billion in its U.S. initial public offering. This marks Cerebras' second attempt to go public after withdrawing a previous IPO filing last October. The Sunnyvale, California-based company is known for its wafer-scale engine chips, designed to speed up the training and inference of large AI models, placing it in direct competition with Nvidia and other AI hardware firms. The company's revenue rose to $510 million in the year ended December 31, up from $290.3 million a year earlier. It also reported a profit of $1.38 per share, a turnaround from a loss of $9.90 per share a year earlier. Morgan Stanley, Citigroup, Barclays and UBS are the lead underwriters for the offering. (Reporting by Echo Wang in New York and Rhea Rose Abraham and Pritam Biswas in Bengaluru; Editing by Sherry Jacob-Phillips and Devika Syamnath)

AI chipmaker Cerebras targets $115-$125 share price in US IPO, source says

May 4 (Reuters) - AI chipmaker Cerebras Systems, a rival to Nvidia, is scheduled to kick off its IPO roadshow on Monday, with shares expected to be priced between $115 and $125, a source familiar with the matter told Reuters. This marks Cerebras' second attempt to go public after withdrawing a previous IPO filing last October. Cerebras did not immediately respond to Reuters request for a comment. The company now aims to list on the Nasdaq under the ticker symbol "CBRS". According to a Bloomberg News report last week, Cerebras could raise up to $4 billion, targeting a valuation of around $40 billion. The Sunnyvale, California-based company is known for its wafer-scale engine chips, designed to speed up the training and inference of large AI models, placing it in direct competition with Nvidia and other AI hardware firms. The company's revenue rose to $510 million in the year ended December 31, up from $290.3 million a year earlier. It also reported a profit of $1.38 per share, a turnaround from a loss of $9.90 per share a year earlier. Morgan Stanley, Citigroup, Barclays and UBS are the lead underwriters for the offering. (Reporting by Echo Wang in New York and Rhea Rose Abraham in Bengaluru; Editing by Sherry Jacob-Phillips)