Global AI-related stocks declined sharply on April 28 following reports highlighting OpenAI growth concerns, raising doubts about the future expansion of the company behind ChatGPT.
According to a report by Reuters, the downturn was triggered after The Wall Street Journal revealed that OpenAI has fallen short of its recent targets for user growth and revenue. These developments have intensified OpenAI growth concerns among investors and industry leaders.
The report further stated that Sarah Friar, OpenAI’s Chief Financial Officer, expressed internal concerns regarding the company’s ability to sustain future computing contracts if revenue growth does not accelerate. This has amplified OpenAI growth concerns across the tech ecosystem.
Shares of Oracle Corporation dropped nearly 7% in premarket trading, reflecting investor anxiety. Oracle has reportedly signed a massive $300 billion cloud computing agreement with OpenAI over five years, making it highly sensitive to OpenAI growth concerns.
Similarly, CoreWeave saw its shares fall by 7.4%, while Nvidia-backed partnerships also faced pressure. CoreWeave recently secured an $11.9 billion infrastructure deal with OpenAI, further linking its performance to ongoing OpenAI growth concerns.
Market experts believe that such declines often trigger a broader ripple effect. Todd Schoenberger, CIO at CrossCheck Management, noted that when major AI-focused companies decline, the entire sector tends to follow—regardless of whether the reaction is justified—further intensifying OpenAI growth concerns.
The spotlight on OpenAI comes as the company prepares for a potential IPO that could value it at up to $1 trillion. Reports suggest that OpenAI may file for listing as early as the second half of 2026, but persistent OpenAI growth concerns could impact investor sentiment.
In Asia, SoftBank Group, a key investor in OpenAI, saw its shares drop nearly 10%, while Arm Holdings declined 7.7%. SoftBank has committed significant funding to OpenAI, making it vulnerable to ongoing OpenAI growth concerns.
CEO Masayoshi Son has aggressively backed OpenAI, selling major assets including stakes in Nvidia and T-Mobile to fund investments—moves now being scrutinized amid rising OpenAI growth concerns.
The negative sentiment extended to other semiconductor giants, including AMD, Broadcom, and Nvidia, all of which declined between 3% and 5%. Their partnerships with OpenAI have made them susceptible to broader OpenAI growth concerns.
This week is critical for the tech sector, with earnings reports expected from Alphabet Inc., Microsoft, Meta Platforms, and Amazon. Investors will closely monitor whether heavy AI investments deliver sustainable returns, especially amid persistent OpenAI growth concerns.
