OpenAI’s $20 billion revenue gap rattles markets

Well, fair to say we moved away from AI safety fears predominantly yesterday to AI profitability as fresh AI worries are rattling markets this morning. This after open AI told investors that it had hit around $50 billion in annualized revenue at the end of September, sharply lower than the $68 billion that was widely reported late last month. The NASDAQ accelerated losses into the close with the likes of Nvidia, Oracle, Cororeweave, and other artificial intelligence names closing in the red. According to a CNBC source, the $68 billion figure included gross revenue from OpenAI's partners, which is a practice used by Anthropic. The discrepancy may have arisen due to OpenAI's efforts to make a more direct comparison with its chief rival. On top of the $50 billion in annualized revenue, CBC understands that OpenAI flags 77% run rate growth in the third quarter as well as 107% run rate growth for its enterprise business during the same period. So what do we have? We have a company that said it is not IPOing this year. So it's pushed the launch back into the long grass. We now have the market somewhat dismayed that the figures that they thought they were looking at in September are not the case today. And if you think about some of the fears in the market, we have bond markets showing huge frightened fears about what you're seeing at a fiscal state level, but also the crowding out effect from AI. Right.