Rachel Warren

And a lot of the excitement around these deals is what you're seeing in that updated IPO range of $150 to $160.

per share.

You're seeing reports that demand is 20 times oversubscribed for the IPO.

They could raise nearly $5 billion in their public debut.

So this is certainly an upcoming IPO that the market is going to be paying very, very close attention to.

Yeah, I mean, I think there's a few different ways to look at this.

Obviously, there's the bull case that really, I think, goes back to Cerebrus' architectural moat by using one massive processor on a single wafer instead of thousands of small chips.

They could eliminate a lot of the bottlenecks we've seen.

It could make its hardware significantly faster for next-gen AI reasoning.

I think the most obvious bear case for anyone looking at this business that it's important to be aware of is customer concentration.

So in 2025, two UAE-affiliated entities accounted for 86% of their total revenue.

And that was a company called G42, as well as the Mohammed bin Zayed University of Artificial Intelligence.

Now, as I mentioned, they're working to diversify away.

You know, they have these new deals with OpenAI.

with AWS, but it's certainly something to be aware of.

And then, you know, obviously the business is not gap profitable at this point.

So at that $50 billion valuation, the market is essentially pricing in perfect execution.

So if the software essentially fails to break NVIDIA's ecosystem or adoption slows, there's really no margin for error.

Yeah, I think I'm similar here to Matt.

I mean, looking at that IPO range, the 20 times over subscription, that shows massive hype.