OpenAI Pours Over $2 Billion Into Cerebras, Eyes Up to 10% Stake

OpenAI has committed to paying over $20 billion to chip startup Cerebras over the next three years for server computing power driven by its chips, and may also receive an equity stake in the company as part of the deal.
This marks the second major collaboration between the two firms. In January of this year, OpenAI signed an agreement to purchase up to 750 megawatts of computing capacity from Cerebras over three years, a deal valued at more than $10 billion. The new agreement is larger—OpenAI will also provide roughly $1 billion in funding to Cerebras for data center development, with total spending potentially reaching $30 billion over the next three years. In return, OpenAI will receive a warrant to acquire a minority stake in Cerebras, with the ownership percentage possibly increasing as spending grows, potentially reaching up to 10% of the company. Cerebras is expected to disclose some details of the agreement as early as Friday.
For Cerebras, this deep integration with OpenAI provides critical support for its push to go public. The company aims to list in the second quarter of this year and plans to complete a $3 billion funding round next month, at an estimated valuation of $35 billion.
Cerebras was founded in 2015 and is known for its wafer-scale engine chip technology. OpenAI CEO Sam Altman is one of its early investors. The scale of this deal also reflects the rapid growth in demand for inference computing power across the industry.
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OpenAI has committed to paying over $20 billion to chip startup Cerebras over the next three years for server computing power driven by its chips, and may also receive an equity stake in the company as part of the deal.
This marks the second major collaboration between the two firms. In January of this year, OpenAI signed an agreement to purchase up to 750 megawatts of computing capacity from Cerebras over three years, a deal valued at more than $10 billion. The new agreement is larger—OpenAI will also provide roughly $1 billion in funding to Cerebras for data center development, with total spending potentially reaching $30 billion over the next three years. In return, OpenAI will receive a warrant to acquire a minority stake in Cerebras, with the ownership percentage possibly increasing as spending grows, potentially reaching up to 10% of the company. Cerebras is expected to disclose some details of the agreement as early as Friday.
For Cerebras, this deep integration with OpenAI provides critical support for its push to go public. The company aims to list in the second quarter of this year and plans to complete a $3 billion funding round next month, at an estimated valuation of $35 billion.
Cerebras was founded in 2015 and is known for its wafer-scale engine chip technology. OpenAI CEO Sam Altman is one of its early investors. The scale of this deal also reflects the rapid growth in demand for inference computing power across the industry.
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