Shares of Nvidia, Oracle, CoreWeave and other artificial intelligence companies fell sharply on Thursday after OpenAI disclosed lower revenue figures than previously reported.
OpenAI told investors its annualized revenue stood at roughly $50 billion as of the end of September, according to CNBC. This figure is notably lower than the $68 billion that circulated widely last month. A person familiar with the matter explained that the $68 billion included gross revenue from OpenAI's partners, making the $50 billion figure a more direct comparison with Anthropic, OpenAI's chief rival.
OpenAI shared the revenue update during an investor presentation. The company also reported 77% total run rate growth during its third quarter, along with 107% run rate growth for its enterprise business during the same period.
The disclosure triggered immediate market losses. Nvidia shares fell 3%, Oracle dropped nearly 6% and CoreWeave slipped nearly 8%. Advanced Micro Devices declined 4%, Broadcom fell 4%, Intel dropped 5% and Super Micro Computer slipped nearly 5%.
OpenAI faces pressure to justify its $852 billion valuation ahead of an expected initial public offering. The company confidentially filed its prospectus with regulators in June, and executives have signaled a 2027 IPO target. CEO Sam Altman said in September that "right now would be an ill-advised moment to go public," citing ongoing safety concerns around AI models.
Anthropic, another major AI player, is also preparing for a significant IPO. The company reported an annualized revenue run rate of $65 billion at the end of July, according to an August investor update. However, financial research firm New Constructs challenged Anthropic's valuations. According to Reuters, which reviewed a leaked prospectus copy, Anthropic posted 2025 revenue of $4.6 billion against a net loss of $42 billion.
OpenAI is exploring an additional funding round that could raise around $30 billion, CNBC reported previously. The company closed a $122 billion funding round in March. CFO Sarah Friar told CNBC last week the company remains "very well capitalized."