Cerebras Systems delivered a massive win for its early venture backers Thursday, with the chip company's Nasdaq debut generating billions in returns for investors who backed the startup a decade ago. Early investors including Benchmark, Foundation Capital and Eclipse saw their stakes balloon in value as the stock surged nearly 90% at the open.

The shares opened at $350, almost double the IPO price of $185. However, the stock gave back some gains, closing down 11.1% at $311.07 with an estimated market capitalization of $66.95 billion, according to FactSet.

The decade-long bet marks a rare success story in semiconductor venture investing, where capital-intensive businesses often take years to pay off. The strong debut reflects growing investor appetite for AI-focused chipmakers, though the late-day pullback suggests caution about valuations in this hot sector.