Cerebras Systems raises $1 billion, valuation nearly triples to $23 billion in four months

Nvidia-rival Cerebras Systems valued at $23.1 billion in latest financing

Feb 4 (Reuters) - AI chipmaker Cerebras Systems said on Wednesday it raised $1 billion in a late-stage funding round that valued it at $23 billion, nearly tripling its valuation just over four months after its previous financing. The round was led by Tiger Global. Other investors included Benchmark, Coatue and Donald Trump Jr.-backed 1789 Capital. AI-linked companies have continued to draw billions in private financing as corporations and governments race to develop data centers for supporting the still-nascent technology. The race has made the chips required for computing power in these data centers a prized commodity, fueling rival Nvidia's (NVDA.O), opens new tab meteoric rise to the most valuable company in the world. The fundraising marks Cerebras' second billion-dollar round since September, when it was valued at $8.1 billion, reflecting the investor allure for a company that could grow to become a key player in the AI-chip supply chain alongside Nvidia and AMD, which also participated in the round. It comes at a time when key AI players are looking to diversify their chip supplies. Reuters reported on Monday that OpenAI was seeking alternatives to Nvidia for AI inference chips, including Cerebras, AMD, and Groq. Amid OpenAI's reservations, Nvidia approached companies working on SRAM-heavy chips, including Cerebras and Groq, about a potential acquisition. Cerebras declined and struck a commercial deal with OpenAI, which was announced last month. The round is also Cerebras' first since it withdrew its U.S. IPO filing in October, underscoring a broader trend of companies staying private for longer with abundant capital available outside of public markets. Sunnyvale, California-based Cerebras is known for its wafer-scale engine chips, designed to speed up the training and inference of large AI models and compete with products from Nvidia and other AI chipmakers. Reporting by Ateev Bhandari and Manya Saini in Bengaluru; Editing by Tasim Zahid and Alan Barona Our Standards: The Thomson Reuters Trust Principles., opens new tab

AI chip maker Cerebras Systems raises $1 billion in late-stage funding

AI chipmaker ⁠Cerebras Systems said on Wednesday it raised $1 billion in a late-stage funding round that valued it at $23 billion. The round was led by Tiger Global. Other investors included Benchmark, AMD, Coatue and Donald Trump Jr.-backed 1789 Capital. AI chipmaker ⁠Cerebras Systems said on Wednesday it raised $1 billion in a late-stage funding round that valued it at $23 billion. The round was led by Tiger Global. Other investors included Benchmark, AMD, Coatue and Donald Trump Jr.-backed 1789 Capital. AI-linked companies have continued to draw billions in private financing as corporations and ⁠governments ⁠race to scale the still-nascent technology. (Reporting by Ateev Bhandari and Manya Saini in Bengaluru; Editing by Tasim Zahid)

AI Infrastructure Builder Cerebras Valued at $23 Billion in Latest Funding Round | PYMNTS.com

By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions. The company raised $1 billion in a Series H funding round that valued it at $23 billion, Cerebras said in a Tuesday press release. The round was led by Tiger Global, according to the release. Cerebras said in the release that its AI infrastructure makes AI "blisteringly fast," is used by corporations, research institutes and governments on four continents, and is available on-site or in the cloud. The company's Series H came just over four months after a Series G funding round that was announced Sept. 30, 2025, and raised $1.1 billion at an $8.1 billion valuation. Cerebras said at the time in a press release that it would use the funds from the Series G to continue developing innovations in AI processor design, packaging, system design and AI supercomputers, as well as expanding its U.S. manufacturing capacity and U.S. data center capacity to keep up with demand for its products and services. "From our inception we have been backed by the most knowledgeable investors in the industry," Cerebras Co-Founder and CEO Andrew Feldman said in a September press release. "They have seen the historic opportunity that is AI and have chosen to invest in Cerebras." In January, OpenAI said it will integrate 750 megawatts of ultra-low latency compute from Cerebras to accelerate the response time of its AI models. "Cerebras adds a dedicated low-latency inference solution to our platform," Sachin Katti, compute infrastructure at OpenAI, said when announcing the deal. "That means faster responses, more natural interactions, and a stronger foundation to scale real-time AI to many more people." Cerebras said in January that the rollout of the compute will add up to the world's largest deployment of high-speed AI inference. The company added that large language models running on its AI processor deliver responses as much as 15 times faster than those using GPU-based systems. "Just as broadband transformed the internet, real-time inference will transform AI, enabling entirely new ways to build and interact with AI models," Feldman said in a January press release.

Cerebras Systems: valuation reaches a $23.1bn after $1bn funding round

Cerebras Systems, an artificial intelligence chip specialist, raised $1bn in a funding round announced Wednesday, taking its valuation to $23.1bn. The deal marks a near tripling of its value in just over four months, following a similarly sized raise in September, when the company was valued at $8.1bn. The financing was led by Tiger Global, with participation from Benchmark, Coatue, AMD and 1789 Capital, a fund backed amongst others by Donald Trump Jr. The fresh influx of capital underscores investors' sustained appetite for key players in AI infrastructure, as the global race for computing capacity accelerates. Cerebras' technology, built around "wafer-scale" chips designed for training and inference of large AI models, is drawing growing interest from strategic customers such as OpenAI, with which it recently signed a commercial agreement. The California start-up is now seen as a credible alternative to Nvidia, whose dominance is prompting many companies to diversify their suppliers. While Nvidia reportedly approached Cerebras about a potential acquisition, the company declined discussions. That decision strengthens its positioning as an independent player in an increasingly concentrated market. The funding round is also the first since Cerebras shelved its initial public offering plans in October. In an environment where private capital remains plentiful, the company plans to keep growing while staying off public markets, in line with many AI-sector start-ups.