# Cerebras stock falls nearly 20% after Nvidia to power OpenAI model

Digest AI · Business & Funding · published 2026-10-02T21:45:06Z

Canonical: https://digestai.news/story/cerebras-stock-falls-nearly-20-after-nvidia-to-power-openai-model

## Summary

Cerebras Systems shares dropped almost 20% this week, hitting their lowest price since the May IPO, after a report that Nvidia will supply GPUs for OpenAI's new GPT-6.1 Sol model.

The decline follows the expiration of post-IPO lock-up periods that unlocked up to 19.4 million shares, and the loss of a $10 billion deal that had Cerebras supplying 750 MW of compute to OpenAI. The company's market cap fell from $95 billion on day one to just over $39 billion.

## Key points

- Cerebras stock down nearly 20% after Nvidia to power OpenAI GPT-6.1 Sol.
- Post-IPO lock-up expiration unlocked 19.4 million shares, 8% of outstanding.
- Cerebras had a $10 billion deal with OpenAI to supply 750 MW of compute through 2028.

## Why it matters

The move shows how quickly AI hardware investors can react to shifts in partner choices, and highlights the growing competition between Nvidia and alternative inference providers. It also signals potential liquidity pressure for Cerebras as more insider shares enter the market.

## Sources

1. [Cerebras stock hits post-IPO low, tumbling 20% for the week on Nvidia pressure and lockup expiration](https://cnbc.com/2026/10/02/cerebras-stock-hits-post-ipo-low-on-nvidia-pressure-lockup-expiration.html) (CNBC Technology, 2026-10-02)

Part of the developing story: [Cerebras AI Scaling Debate and Nvidia Tie-Up](https://digestai.news/thread/cerebras-ceo-feldman-debates-ai-scaling-limits-at-disrupt-2026) (2 stories)

## Cite

Digest AI, "Cerebras stock falls nearly 20% after Nvidia to power OpenAI model", 2 October 2026, https://digestai.news/story/cerebras-stock-falls-nearly-20-after-nvidia-to-power-openai-model

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