AI could be the least of edtech’s worries
Shares of edtech firm Chegg have yet to recover from their plunge earlier this month. As you may recall, its stock fell off a cliff after the company released its first quarter results.
While Chegg beat analysts’ expectations for the first quarter of the year, he also issued a warning that didn’t fall on deaf ears: he warned that ChatGPT was hampering his ability to add new subscribers.
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“[S]Since March, we have seen a significant increase in student interest in ChatGPT. We now believe this is impacting our rate of new customer growth,” Chegg CEO Dan Rosensweig said during the company’s first-quarter earnings call.
Chegg is particularly vulnerable to competition from generative AI; while you may know it as a place to rent college textbooks, “it’s also proven to be an incredibly popular tool for cheating,” TechCrunch+ reported.
AI could be the least of edtech’s worries by Anna Heim originally posted on TechCrunch