On May 2, Chegg’s stock plummeted 48% after the company released an earnings report saying that A.I. posed a major risk to its business. “Since March we saw a significant spike in student interest in ChatGPT. We now believe it’s having an impact on our new customer growth rate,” said the report that set off a stunning stock wipeout. The edtech company is working hard to bounce back by creating its own educational chatbot that it thinks can rival ChatGPT, CEO Dan Rosensweig said at Fortune’s Brainstorm Tech conference on Wednesday.
“The reason I was invited on is I’m the poster child for getting your ass kicked in the public markets by A.I. since I lost 40% of value in five minutes,” Rosensweig said. “So for those of you who didn’t want to take that, I took it for you,” Rosensweig said with apparent sarcasm. “My pleasure.”
