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Nvidia challenger Cerebras says it's leaped Mid-East funding hurdle on way to IPO

Mar 31, 2025 - theregister.com
AI chip startup Cerebras Systems has resolved concerns with the US Committee on Foreign Investment (CFIUS) regarding its funding sources, particularly its reliance on UAE-based G42, which accounted for over 87% of its revenues in early 2024. To address CFIUS's concerns, Cerebras amended its agreement with G42, limiting them to non-voting shares, thus avoiding further review. This resolution comes as Cerebras prepares for its IPO, expected to raise up to $1 billion at a valuation of $7 to $8 billion. The company aims to diversify its customer base and expand its infrastructure across North America and France, deploying over a thousand wafer-scale accelerators by the end of 2025.

Cerebras plans to enhance its high-performance inference-as-a-service platform, with new datacenters in America, Canada, and France. While G42 remains a major customer, Cerebras will maintain control over its Oklahoma City and Montreal sites. The company's wafer-scale chips are designed to deliver significant performance advantages, achieving up to 125 petaFLOPS at FP16, and are positioned as a key differentiator in high-throughput inference for large models.

Key takeaways:

  • Cerebras Systems resolved CFIUS concerns by amending its agreement with G42, limiting the UAE-based firm to non-voting shares, clearing the way for its planned IPO.
  • G42 accounted for over 87% of Cerebras' revenues in the first half of 2024, but Cerebras aims to diversify its customer base with a high-performance inference-as-a-service platform.
  • Cerebras plans to deploy over a thousand wafer-scale accelerators across six new datacenters in America, Canada, and France by the end of 2025, with most sites operated in partnership with G42.
  • Cerebras' systems are designed to achieve up to 125 petaFLOPS at FP16, significantly outperforming conventional GPU-based providers in model serving speeds.
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