Cerebras Systems to File IPO and Compete with Nvidia
Insiders say that Cerebras Systems, a rival of Nvidia and an AI chip startup, has secretly filed IPO documents with the US securities regulatory agency, applying to list on the Nasdaq Stock Exchange. The insider also said that the IPO may take place later this year.
In addition, Cerebras also informed the regulatory authorities in Delaware, where the company is headquartered, that it is issuing preferred shares at a significant discount compared to the price in the last round of private financing. This move may make its shares more attractive to pre-IPO private investors and those participating in the public offering.
Cerebras is a company that specializes in producing powerful computer chips that are designed to handle AI and high-performance computing. In the past year, Cerebras has repeatedly hit the headlines, claiming that its chips are not only more powerful than Nvidia's but also more cost-effective.
Benefiting from the current AI boom, Nvidia has grown into the world's most valuable company. As companies around the world compete to integrate powerful AI tools into their systems and applications, they have been buying thousands of GPUs, causing Nvidia's data center revenue to increase by more than 400% in the past year.
Nvidia has few rivals, but Cerebras is one of them. Its flagship product is the new WSE-3 processor, which was released in March and is built on the WSE-2 chipset that first debuted in 2021.
The WSE-3 chip is expected to go on the market later this year. It is built on an advanced 5-nanometer process and has 1.4 trillion more transistors than the previous generation chip, with over 900,000 computing cores and 44 gigabytes of on-board static random-access memory.
Cerebras claims that the number of cores in the WSE-3 is 52 times that of a single Nvidia H100 graphics processor. Cerebras says that these specifications are sufficient to allow the WSE-3 to compete with Nvidia's best graphics processors. Cerebras also claims that its chip has superior performance and can handle AI workloads faster and more power-efficiently, thereby improving the efficiency of the workload.
Cerebras also recently announced that it will partner with Dell to provide computing infrastructure for generative AI. This partnership includes a new memory storage solution that is supported by Dell and AMD's EPYC CPU for Cerebras' AI supercomputer, enabling enterprises to train'models that are orders of magnitude larger than the current state-of-the-art.'