Lambda Prepares for IPO with Major Investment Banks

Sep 4, 2025
Lambda, an AI cloud provider, has hired Morgan Stanley, J.P. Morgan, and Citi to prepare for an IPO in 2026, according to The Information.

Lambda, an AI cloud provider, has hired major investment banks to prepare for an initial public offering (IPO) in the first half of 2026. The company has engaged Morgan Stanley, JPMorgan Chase, and Citi for this endeavor, according to The Information.

Lambda, which rents out Nvidia graphics chips for AI applications, has seen significant growth, with its cloud revenue nearly doubling in the first half of 2025. The company's revenue rose 60% year-over-year to over $140 million in the second quarter, surpassing internal expectations.

The move to go public follows the successful IPO of its competitor, CoreWeave, earlier this year. CoreWeave's IPO raised $1.5 billion, and its market capitalization has since increased significantly. Lambda aims to capitalize on the growing demand for AI computing resources, supported by its strategic partnerships and financial backing.

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