OpenAI signs $10 billion computing deal from Cerebras

OpenAI announced Wednesday that it has reached a multi-year agreement with AI chipmaker Cerebras. The chipmaker will provide 750 megawatts of computing to the AI ​​giant starting this year and continuing through 2028, Cerebras said.

A source familiar with the details told TechCrunch that the deal is worth more than $10 billion. Reuters also reported the size of the deal.

The deal is about delivering faster outputs to OpenAI customers, the companies said. In a blog post, OpenAI said these systems will speed up responses that currently require more time to process. Just as broadband “transformed the Internet, real-time inference will transform artificial intelligence,” said Andrew Feldman, co-founder and CEO of Cerebras.

Cerebras has been around for more than a decade, but its star has risen significantly since the launch of ChatGPT in 2022 and the AI ​​boom that has followed. The company claims that its systems, built with its own chips designed to use AI, are faster than GPU-based systems (such as Nvidia’s offerings).

Cerebras filed to go public in 2024 but has since postponed it several times. Meanwhile, the company continued to raise large sums of money. On Tuesday, it was reported that the company is in talks to raise another $1 billion at a valuation of $22 billion. It’s also worth noting that OpenAI’s CEO, Sam Altman, is already an investor in the company and that OpenAI once considered acquiring it.

“OpenAI’s computing strategy is to build a flexible portfolio that matches the right systems with the right workloads,” said Sachin Katti of OpenAI. “Cerebras adds a dedicated low-latency inference solution to our platform. This means faster responses, more natural interactions, and a stronger foundation for scaling real-time AI to more people.”