Reuters: Cerebras Systems Withdraws IPO After $1.1B Funding Round

Cerebras Systems, a Sunnyvale, California-based AI chip startup and competitor to Nvidia, has withdrawn its plans for an initial public offering (IPO) in the United States, effective immediately. This decision follows the company's recent announcement of a $1.1 billion funding round led by Fidelity Management & Research and Atreides Management, valuing Cerebras at $8.1 billion. New investors in the round included Tiger Global, Valor Equity Partners, and 1789 Capital. Josef Schuster, CEO of IPO research firm IPOX, described the withdrawal as "of no surprise," citing the recent capital infusion as a "company-specific strategic decision." Cerebras develops high-performance AI chips and systems. Cerebras previously filed for a Nasdaq IPO last year, but the listing was delayed due to a U.S. national security review of a $335 million investment from G42, an Abu Dhabi-based cloud computing and AI company. Despite this withdrawal, Cerebras CEO Andrew Feldman has stated the company still intends to pursue a public offering in the future. This decision contrasts with the current market trend, which has seen U.S. IPO activity increase amid growing investor enthusiasm for AI-related stocks.