OpenAI’s cozy partner Cerebras is on track for a blockbuster IPO

In the long-running saga that is Cerebras Systems’s IPO, the decorativeness enactment is yet successful sight. The AI chipmaker said connected Monday that it is preparing to merchantability 28 cardinal shares astatine $115 to $125 a share. This would rise $3.5 cardinal and springiness it a $26.6 cardinal marketplace headdress astatine the precocious end.

That would beryllium a bully bump successful conscionable a mates of months for the precocious investors who piled into its $1 cardinal Series H astatine a $23 cardinal valuation successful February. It would besides beryllium a boon to OpenAI and a fewer of its executives.

Should Cerebras propulsion disconnected an archetypal nationalist offering astatine oregon supra the precocious end, this volition beryllium the largest tech IPO of 2026 truthful far. It could besides beryllium the appetite for adjacent bigger blockbuster offerings successful the wings, similar SpaceX and perchance OpenAI and Anthropic.

Cerebras offers an AI-specific spot called the Wafer-Scale Engine 3 that challenges GPU-based AI chips. Cerebras says its spot is faster for inference portion utilizing little powerfulness than specified competitors. Inference is the compute needed to process idiosyncratic prompts.

A agelong database of top-name investors stands to summation from a steadfast IPO. Rick Gerson’s Alpha Wave; Benchmark (via spouse Eric Vishria); Lior Susan’s Eclipse; Fidelity; and Foundation Capital (via spouse Steve Vassallo) are its largest shareholders with much than a 5% stake, according to the company’s SEC filing.

The institution says its database of investors besides 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 connected its website a agelong database of angel investors, too. These see OpenAI laminitis and CEO Sam Altman, OpenAI laminitis and president Greg Brockman, erstwhile OpenAI main idiosyncratic (now laminitis of his ain AI startup) Ilya Sutskever, OpenAI committee subordinate and Quora CEO Adam D’Angelo, Sun Microsystems and Arista co-founder Andy Bechtolsheim, Intel CEO Lip-Bu Tan, and respective different tech luminaries.

While Sam Altman’s involvement wasn’t ample capable to disclose successful the SEC filings, helium was quoted successful its S-1. That’s due to the fact that Cerebras’ narration with OpenAI is adjacent much noteworthy than its angel investors.

This narration was adjacent presented as grounds by Elon Musk successful his suit with OpenAI. OpenAI had astatine 1 constituent considered acquiring Cerebras, according to ineligible filings by Musk’s attorneys that assertion helium was unaware of each of the OpenAI execs’ idiosyncratic investments successful the company.

That woody ne'er happened, but OpenAI did go 1 of Cerebras’ largest customers. In fact, successful December, OpenAI loaned Cerebras $1 billion, secured by warrants that let OpenAI to bargain implicit 33 cardinal shares, the S-1 discloses. So portion OpenAI is not a ample shareholder now, it could go one.

Cerebras had hoped to spell nationalist successful 2024 but was delayed owed to a national reappraisal of an concern from Abu Dhabi-based unreality supplier G42, which was (and inactive is, the spot institution says) a large customer. That IPO effort was yet shelved.

A twelvemonth later, Cerebras sought to rise much cash. In September, it raised $1.1 cardinal astatine an $8.1 cardinal post-money valuation led by Fidelity and Atreides. A fewer months later, Cerebras signed its caller multi-year statement worthy more than $10 billion with OpenAI that included the indebtedness and warrants. In February, it raised the $1 cardinal Series H, its past mega round.

Should investors devour up the IPO, past OpenAI and its executives basal to summation successful much ways than one.

That seems likely. Banks are already fielding $10 cardinal worthy of orders for the $3.5 cardinal worthy of shares connected offer, Bloomberg reports. That benignant of request indicates that the institution volition apt terms its shares adjacent higher than this announced range, raising adjacent much currency for itself and much worth for its investors.