OpenAI's revenue correction raises concerns about AI bubble

OpenAI's revenue has recently been adjusted to nearly 20 billion dollars less than previously reported. The company indicated that the annual revenue at the end of September is approximately 50 billion dollars, compared to the earlier expected 68 billion dollars. This revision led to declines at chip companies on the stock market, especially as investor Michael Burry and the IMF warned of a potential AI hype.

This new revenue estimate only considers direct income from OpenAI and not the revenue generated by partners using OpenAI products. This raises questions among investors, particularly as OpenAI prepares for an IPO in 2027. Despite an impressive growth of 77 percent in the third quarter and 107 percent among business customers, doubts remain about the financial sustainability of the company.

The correction of OpenAI's revenue figures also impacts the broader tech market. On Tuesday, October 8, the Nasdaq fell by 1.25 percent, while several chip companies such as CoreWeave and Nvidia suffered significant losses. The AEX rose, but chip manufacturers ASML, ASM International, and Besi also showed a decline of 1 percent at opening prices. These companies depend on OpenAI's data centers, and with disappointing figures, the question arises whether investments in AI will be profitable.

Michael Burry, known for predicting the financial crisis of 2008, expects a stock market crash within a year and hopes this can prevent OpenAI and similar companies from going public. He claims that these companies will only destroy capital. At the same time, the IMF expressed similar concerns, warning that investors may be disappointed, which could have economic repercussions if AI investments do not meet expectations. However, the IMF also emphasizes that, if deployed correctly, AI can stimulate global economic growth.

Read the full article from AI Insider.