[hn_throwaway_99]

You seemed surprised that this company is having an IPO to actually raise funds for operations and expansion, vs as just an "exit" where VCs and other insiders can dump their shares onto the broader public.

I might be a bit suspicious if a company in some low-capital-intensive industry was IPOing while unprofitable, but this is chip making. Even if they're not making their own fabs this is still an industry with high capital requirements.

We should be thrilled at a company actually using an IPO for its original intended purpose as opposed to some financialization scheme.

[knowitnone]

they don't make chips. they design and contract TSMC to fab the chips. The high capital is in design tools and engineers.

[hn_throwaway_99]

Thanks - I said that in my comment, but then just realized I had a typo of "fans" where it should have said "Even if they're not making their own fabs..."

[theogravity]

Does this mean that they couldn't find VCs to raise more cash?

[fakedang]

Cerebras is currently heavily backed by the Emirati government's sovereign wealth fund.

[ketzo]

VCs offer cash on different terms than the public does. This just means Cerebras believes it can get capital more cheaply (or on otherwise better terms) than it can from VCs.

That might mean VCs are turning them down, yeah, but that’s just one of many possible factors into “where do we raise money”

[chapelier]

I don’t think that’s been a problem. I’ve been following the pre IPO market on them for a while and pretty much any shares at a 7b valuation have been snapped up pretty much same day