Cerebras Systems Inc. (NASDAQ: CBRS) announced a major expansion of its European infrastructure footprint, planning to increase total capacity to 200 MW by the end of 2027. The company will bring its first European data center capacity online by the end of 2026, with a rapid build-out across France and the Nordics. This expansion aims to deliver faster response times for increasingly complex AI workloads by moving high-speed AI inference infrastructure closer to European users.

A portion of the expanded capacity is expected to support OpenAI workloads as part of the companies’ existing partnership. The deployment addresses surging demand from European enterprises, research institutions, and governments seeking local, low-latency AI infrastructure alternatives to compute capacity concentrated in the U.S. and Asia.

Cerebras co-founder and CEO Andrew Feldman stated that the company is contracting significant capacity for 2027, with data centers slated for Norway and Finland. He emphasized that these deployments enable the company to meet customer requests for fast, high-performance AI compute located in Europe. Feldman added that the expansion reflects confidence in Europe as a long-term growth market for Cerebras.

Expansion Details

The expansion plan includes specific targets and locations to bolster Cerebras's presence in the region:

Cerebras's wafer-scale architecture is designed to deliver industry-leading inference and training performance. The European build-out positions the company to serve regional demand directly from within the market.

Flex and Cerebras Systems have expanded their manufacturing partnership to ramp up CS-3 production at Flex's California facilities, increasing capacity by approximately 7x through 2026. The collaboration reflects a significant expansion of advanced manufacturing capacity in the United States, supported by new production lines, expanded floor space, advanced test infrastructure, and additional skilled manufacturing talent based in California.

The CS-3 is built on Cerebras' industry-leading wafer-scale engine architecture, featuring a processor physically larger than any conventional AI chip. The system integrates advanced liquid cooling, high-density power delivery, precision mechanical assembly, and tightly coordinated networking infrastructure into a platform designed for large-scale AI training and inference.

Manufacturing the CS-3 presents challenges rarely encountered in traditional server production. Each system requires specialized handling processes, custom tooling, precision calibration, and extensive system-level validation. Flex engineers worked closely with Cerebras to develop dedicated assembly flows, automated test stations, and new manufacturing methodologies tailored specifically for wafer-scale computing systems.

To support the ramp, Flex is expanding dedicated manufacturing operations for Cerebras in Milpitas, with multiple new assembly and integration lines coming online through 2026. The footprint devoted to CS-3 manufacturing is expected to grow substantially this year as production accelerates to meet customer demand from AI model developers, cloud providers, and enterprise customers.

Inside the Milpitas facility, production operations span precision mechanical assembly, high-power electrical integration, liquid cooling installation, optical networking validation, and full-rack system qualification. The site has expanded into a high-throughput manufacturing environment with parallel integration lines, enhanced burn-in and validation areas, additional automated test infrastructure, and increased warehouse and logistics capacity for critical components and finished systems.

The expansion is also contributing to growth in high-skilled manufacturing roles across the region, including manufacturing, systems integration, quality, supply chain, and testing. This partnership demonstrates that some of the world's most sophisticated AI systems are being designed, assembled, integrated, and tested in the heart of Silicon Valley.