Cerebras Prices IPO at $185 a Share, Raising $5.55 Billion Above Expected Range

Cerebras Systems priced its initial public offering at $185 per share on Wednesday, above its most recently revised range, raising $5.55 billion and landing one of the largest tech IPOs in years.

The Silicon Valley chip maker sold 30 million shares in the offering, according to a company statement. Underwriters hold an option to purchase an additional 4.5 million shares. At the IPO price, Cerebras carries a fully diluted valuation of $56.4 billion and will trade on the Nasdaq under the ticker symbol CBRS.

Co-founder and CEO Andrew Feldman holds a stake now valued at approximately $1.9 billion. Other significant investors include Fidelity, whose position is worth about $3.8 billion, Benchmark at roughly $3.3 billion, Foundation Capital at $2.8 billion, and Eclipse at $2.5 billion.

The IPO price represents a sharp upward revision from initial expectations. On May 4, Cerebras said it planned to sell 28 million shares at $115 to $125 each. A week later, the company raised both the share count to 30 million and the expected range to $150 to $160 before ultimately pricing above even that revised band.

By comparison, Uber raised approximately $8 billion in its 2019 IPO, while Snowflake's 2020 offering — the largest U.S. tech IPO between Uber and Cerebras — brought in over $3.8 billion. Electric-vehicle maker Rivian raised roughly $12 billion in 2021.

The debut comes amid a broad rally in semiconductor stocks. Intel, Advanced Micro Devices, and memory maker Micron have each risen more than 80% over the past month, reflecting widening investor appetite for chips beyond Nvidia as AI infrastructure spending accelerates.

Cerebras, founded in 2016, had a difficult path to this point. The company filed for an IPO in September 2024 but withdrew its submission roughly a year later after its prospectus drew scrutiny over its heavy dependence on a single customer — G42, a United Arab Emirates-based firm backed by Microsoft. Cerebras said in its refreshed prospectus that G42 accounted for 24% of revenue last year, down from 85% in 2024. However, Mohamed bin Zayed University of Artificial Intelligence, also in the UAE, represented 62% of revenue in the same period.

The company has been pivoting from selling hardware systems toward offering a cloud service powered by its proprietary Wafer Scale Engine 3 chips, which it claims provide speed and cost advantages over graphics processing units. That shift puts Cerebras in direct competition with cloud providers including Google, Microsoft, Oracle, and CoreWeave, all listed as competitors in its prospectus.

Cerebras secured a notable commercial win in January, signing a deal with OpenAI valued at over $20 billion for 750 megawatts of computing capacity. The company's ties to OpenAI run deeper than that contract: testimony in Elon Musk's trial against OpenAI revealed that in 2017, OpenAI considered a merger with Cerebras. OpenAI co-founder Greg Brockman wrote in an email at the time that "exclusive access to Cerebras hardware would give OpenAI an overwhelming hardware advantage over Google." Brockman held approximately 78,000 Cerebras shares at the end of 2025, a filing showed, a position worth roughly $14.4 million at the IPO price. OpenAI CEO Sam Altman held about 89,000 shares as of December 31, worth approximately $16.5 million.

Separately, Bloomberg reported Wednesday — citing unnamed sources — that Arm and SoftBank had each approached Cerebras about an acquisition in the weeks before the IPO. Cerebras declined to comment on those reports.

The IPO's lead underwriters are Morgan Stanley, Citigroup, Barclays, and UBS.

Cerebras' offering sets the stage for what could be a busy IPO cycle in AI. Investors are watching for potential offerings later this year from SpaceX, OpenAI, and Anthropic — listings that would dwarf even the Cerebras raise in scale and investor attention.

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