Cerebras entered public markets with investors eager for an AI-chip challenger capable of loosening Nvidia’s grip. Its May Nasdaq debut briefly put the company at a $95 billion market value, but that early exuberance has faded sharply.¹

In January, Cerebras and OpenAI struck a deal worth more than $10 billion to provide 750 megawatts of computing power through 2028. The company’s bet is that its dinner-plate-sized custom chips, built for AI inference, can offer a faster alternative to conventional GPUs.¹

That narrative was jolted last week when SemiAnalysis reported that OpenAI would run the “Ultrafast” mode of GPT-6.1 Sol on Nvidia GPUs rather than Cerebras hardware. Cerebras shares fell nearly 20% for the week to a post-IPO low, pressured both by the Nvidia report and the expiry of restrictions on insider share sales.¹

Altman stepped in on Friday, acknowledging the market noise while insisting the relationship had not frayed: “Cerebras is a close partner, and we have a deep engagement pushing on the frontiers of speed.”Sam Altman (sama)² The shares rose almost 3% after hours that day and climbed 9% on Monday, though the company’s market value remained far below its opening-day peak.³

The split is now clear. OpenAI’s chief executive casts Cerebras as a continuing partner; investors see Nvidia’s GPT-6.1 role as a warning that the challenger may be sidelined where inference demand matters most. Citi analysts took a more measured view, saying their 2026-28 revenue outlook was “unchanged” because frontier models may first launch on internal hardware. But they cautioned that further delays in stabilising gross margins could hurt sentiment, especially at Cerebras’ “premium valuation.”³