Micron, Nvidia and AI chip stocks fall as report on OpenAI’s revenue causes ‘undue concern’

Shares of technology companies including Micron and Nvidia fell after reports on OpenAI's revenue. According to The Financial Times, OpenAI told investors its annualized revenue was approaching $50 billion at the end of September. This figure is lower than previously reported, with some outlets citing $70 billion.

The discrepancy in revenue figures is due to differences in calculation methods between OpenAI and its rival Anthropic. Anthropic includes revenue from sales through cloud partners, while OpenAI does not. As a result, investors had overestimated OpenAI's revenue. MarketWatch reports that analysts say the lower figure reflects these differences, not weakness in AI demand.

OpenAI's revenue has grown more than 70% during the period, the company told investors. The revenue metric serves as a key indicator of overall demand for AI technology and influences infrastructure spending decisions in the sector, according to Investing.com.

Brief written by urgent.news from MarketWatch Top, Quartz, TechCrunch, Investing.com, Techmeme — 5 reports on this story. Machine-written — may contain errors; check the original before relying on it.