Cerebras and Cisco Raise Forecasts Amid AI Infrastructure Demand
Cerebras Systems and Cisco increased financial forecasts following strong AI demand and a $20 billion computing agreement between Cerebras and OpenAI.
AI infrastructure demand drove financial forecast increases for both Cerebras Systems and Cisco on Thursday. Cerebras raised its 2026 adjusted revenue forecast to between $940 million and $960 million, bolstered by a $20 billion multi-year agreement to provide computing power for OpenAI. The company reported third-quarter adjusted sales of $230.9 million, a 70% increase that exceeded analyst expectations, though its net loss widened to 67 cents per share.
Cerebras expanded its market reach through a new partnership with Microsoft signed in October, with revenue expected to materialize in the first quarter of 2027. The company also maintains partnerships with Amazon and Oracle and recently collaborated with AMD to combine Helios systems with wafer-scale engines for inference. CEO Andrew Feldman noted that high costs and long lead times for GPUs have created opportunities for Cerebras hardware.
Cisco reported fiscal first-quarter revenue of $18.5 billion and adjusted earnings per share of $1.40, both beating expectations. The networking firm more than doubled its 2026 AI infrastructure revenue forecast from hyperscalers to $9 billion for the current fiscal year. These developments coincided with the resignation of Nvidia CEO Jensen Huang following scandals involving extramarital affairs.
