AI hardware company Cerebras has called off its intended initial public offering. The withdrawal marks a reversal from its plans disclosed in its initial filing over a year ago.
The decision arrives on the heels of a massive private investment round, where the company raised $1.1 billion. This new funding has placed an $8.1 billion valuation on Cerebras, providing it with ample capital to continue its growth as a private entity.
While a company spokesperson affirmed that going public remains a future goal, Cerebras stated in an SEC filing that it will not proceed with the offering “at this time.” The move follows a significant shift in the company’s business model over the past year. Initially focused on selling its powerful AI hardware systems, Cerebras has since pivoted toward offering a cloud-based service that allows clients to access its chip technology on-demand.
The withdrawal also comes amidst a U.S. government shutdown, though a spokesperson confirmed this did not influence the decision. The company’s original IPO prospectus, filed over a year ago, was also noted as being “out of date” given the rapid evolution of the AI landscape.
This substantial private investment, led by investors including the UAE-based G42, provides Cerebras with the capital to compete with giants like Nvidia without the immediate pressures of the public market. The news highlights a broader trend of well-funded AI infrastructure companies securing colossal deals, as seen with CoreWeave’s recent multi-billion dollar agreement with Meta.
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