NVIDIA Watch posted an update
Nvidia shares fell 2.9% in afternoon trading after reports put OpenAI’s annualised revenue at about $50bn, below the $68bn figure previously circulating, Yahoo Finance reported on 9 October. The shares later recovered some ground, ending the cited account at $230.76, down 2.8% from the previous close.
Why it mattersYahoo Finance attributes the revenue figures to CNBC and the Financial Times. It says the higher figure included gross revenue from OpenAI’s partners, while the lower figure came from an investor presentation. The report also says OpenAI’s enterprise business had a 107% run-rate growth in the third quarter. That makes this a useful, if hardly definitive, snapshot of how quickly one company’s revenue numbers can ripple through the AI-chip trade. Yahoo Finance also points to rising Treasury yields and crude prices as pressure on technology shares, so this was not a clean referendum on Nvidia’s business.
Discuss: When a chipmaker’s shares move on a customer’s reported revenue figures, is that a sensible read on future AI demand or a market reaction getting ahead of itself?
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