Nvidia, Oracle, CoreWeave and other AI stocks sink on OpenAI revenue report
OpenAI has told investors that it hit roughly $50 billion in annualized revenue at the end of September, CNBC confirmed.
TL;DR
- Nvidia, Oracle, CoreWeave, and other AI stock prices decreased following OpenAI's revenue disclosure.
- OpenAI reported approximately $50 billion in annualized revenue at the end of September, lower than a previously circulated $68 billion figure.
- The company also reported 77% total run rate growth in its third quarter, with 107% growth in its enterprise business.
- OpenAI is under pressure to justify its $852 billion valuation ahead of an anticipated IPO, potentially in 2027.
- Rival Anthropic is also preparing for an IPO and reportedly seeking a $2 trillion valuation, though one firm valued it at $150 billion.
- Both companies are central to discussions about AI safety due to concerns about potential catastrophic harm from their models.
- OpenAI is reportedly in early discussions for a new funding round of around $30 billion.