May 15 (Reuters) - Silicon Valley firm Cerebras Systems

on Wednesday said it will supply a supercomputing system to

Aleph Alpha, a German technology startup that will use it to

develop artificial intelligence for the German Armed Forces.

Cerebras has created a computing system that aims to rival

Nvidia ( NVDA ) for training AI systems with huge amounts of

data. The company has previously won a deal to supply G42, the

government-backed firm in the United Arab Emirates, with AI

supercomputers, though those machines will be physically located

in the United States.

By contrast, the deal with Aleph Alpha, a leading AI firm

viewed as among Europe's rivals to U.S. firms such as OpenAI,

will involve shipping Cerebras supercomputers to a secure data

center in Germany, the first time that a Cerebras system has

been installed in Europe.

"The German Armed Forces is a top-tier customer, and Aleph

Alpha is one of the AI leaders," Cerebras Chief Executive Andrew

Feldman told Reuters. "The competition was fierce."

The two companies did not give a value for the deal but

described it as a multi-year agreement in which Cerebras would

help Aleph Alpha train generative AI models for the German Armed

Forces.

"Like most companies, armed forces are looking for world

class AI," Feldman said. "They're looking to train models (for)

language, vision (and) multi-data type models."