Shares of Chegg, the online education company, fell by nearly 50% after CEO Dan Rosensweig said that ChatGPT is affecting the company’s growth. Chegg has seen a spike in student interest in ChatGPT since March, which is having an impact on its new customer growth rate. The company is developing its own AI product, CheggMate, in collaboration with OpenAI, but Jefferies analyst Brent Thill says the impact of the product is uncertain. Chegg beat first-quarter expectations but fell far short of analyst consensus estimates for Q2 revenue.
