04/05/2023
ChatGPT just claimed its first victim 😳
The stock of EdTech Chegg has dropped -50% as the CEO admits that OpenAI's viral chatbot ChatGPT is making their business obsolete.
Founded in 2005, Chegg is an education technology company that provides homework help as a service, as well as digital and physical textbook rentals.
The company has been hit hard by the recent advancements in artificial intelligence as more and more students turned to ChatGPT for studying and learning:
- Net income is down -92% YoY
- Net profit margin collapsed by -92% YoY
- EBITDA fell by -30% YoY
This is only the first of many companies that will be disrupted by generative AI.
This is really an iPhone moment.
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