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Chegg stock crashes after CEO cites ChatGPT impact on edtech company’s growth

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When it comes to homework help, ChatGPT is chasing off competitors. Stock prices have crashed for the ed-tech company Chegg after the CEO discussed the AI’s impact.

Shares of Chegg plummeted Tuesday after the education tech company pointed to the impact of ChatGPT on its ability to grow.

“In the first part of the year, we saw no noticeable impact from ChatGPT on our new account growth, and we were meeting expectations on new sign ups,” he said on the company’s earnings call. “However, 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.”

 

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