OpenAI Doubles Cerebras Deal to $20 Billion, Takes Minority Stake as AI Chip Partner Eyes $35 Billion IPO
Summary
OpenAI doubles its deal with AI chipmaker Cerebras to over $20 billion, takes a potential 10% minority stake, and invests $1 billion in data center development, as Cerebras eyes a $35 billion IPO in Q2 2025.
Key Points
- OpenAI strikes a deal worth more than $20 billion over three years to use servers powered by Cerebras chips, doubling the size of a previously reported $10 billion agreement between the two companies.
- Under the expanded deal, OpenAI receives warrants for a minority stake in Cerebras, with ownership potentially growing to 10% as spending increases, and OpenAI is also providing approximately $1 billion to help fund Cerebras data center development.
- Cerebras, last valued at $23.1 billion, is targeting an IPO in the second quarter of this year and plans to raise $3 billion at a valuation of around $35 billion, with the OpenAI partnership serving as a central pillar of its path to going public.