ChatGPT downloads are slowing — and may cause problems for OpenAI’s IPO

ChatGPT’s user growth is slowing, losing ground to competitor Claude. Though still expanding, its growth has decelerated, with a 168% rise in active users in January dropping to 78% by April. Uninstall rates soared 132% year over year in April and 413% the previous month, following a deal with the Pentagon. Despite holding a larger user base than rivals, downloads only rose 14% over the past few months versus Claude’s 11-fold increase. This slowdown coincides with OpenAI’s IPO considerations, with CFO Sarah Friar expressing concerns over missing internal targets, suggesting the company may face financial challenges if revenue growth doesn’t accelerate.