I asked Dan Ives, a managing director at Wedbush Securities, whether he thought the selloff was warranted. “We believe this is an overreaction, as OpenAI is strongly positioned,” he said. “We will take the other side of this bear thesis and be buyers of Oracle and other names impacted today.”
In a Tuesday morning note, Wedbush analysts said they believe OpenAI continues to see very strong demand across both consumer and enterprise segments. “We strongly disagree with the notion that growth is weakening,” the analysts wrote.
Friar added that while it’s easy to focus on models and products, compute is the engine behind it all. “With this funding, we can invest at the scale needed to deliver intelligence more efficiently to consumers, enterprises, and builders everywhere,” she said. “That’s the part that keeps me energized—not just what we build, but what others will build on top of it.”
