AI chipmaker soars 90% in year’s biggest IPO so far

Cerebras, an AI chipmaker founded in 2015, surged 90% in its Nasdaq debut, priced at $350 per share after raising its IPO range, marking the year’s largest IPO so far. The company’s valuation now exceeds $75 billion, fueled by investor demand and its ties to major AI firms like Amazon Web Services and OpenAI, while competing with Nvidia, AMD, and Intel in the booming AI chip market." "article": "Cerebras Systems, an artificial intelligence chipmaker founded in 2015, made its Nasdaq stock exchange debut with a 90% surge, pricing its shares at $350 each—up from an initial range of $185. The company’s valuation now exceeds $75 billion, reflecting strong investor demand and the ongoing AI-driven market rally. The IPO saw banks handling the offering receive orders for more than 20 times the available shares, according to Bloomberg News. Cerebras competes directly with market leader Nvidia, whose shares have pushed its market value past $5.6 trillion, while also facing competition from AMD and Intel, which holds a stake valued at over $50 billion due to U.S. government ownership. The surge in AI-related stocks has boosted major tech firms, including Amazon, which neared a $3 trillion valuation after collaborating with Cerebras. The broader market, particularly the S&P 500, has also risen nearly 10% over the past three months, though gains are largely driven by the ‘magnificent 7’ tech giants. Despite global challenges like rising energy prices, inflation, and geopolitical tensions, AI enthusiasm continues to dominate market sentiment. Nvidia’s shares rose further after CEO Jensen Huang met with former President Donald Trump in Beijing, where the company seeks to expand its presence in the Chinese market. Cerebras’ IPO may soon be surpassed by Elon Musk’s SpaceX, expected to go public within the next two to three months with a valuation exceeding $2 trillion. Meanwhile, the Nasdaq composite index climbed on Thursday, reflecting sustained AI-driven optimism.