Title: ChatGPT Usage Declines for the First Time as AI Hype Wanes
Artificial intelligence has been making waves since the release of ChatGPT, the viral chatbot developed by OpenAI. However, recent data from analytics firm Similarweb suggests that the AI buzz may be fading, as monthly traffic to the ChatGPT site experienced a decline for the first time in June.
In the midst of challenging macroeconomic conditions and a more cautious Federal Reserve, AI stocks like Nvidia have been performing exceptionally well. However, the dwindling interest in AI chatbots could serve as a catalyst for the deflation of the AI bubble. Recent Similarweb data reveals that ChatGPT’s website traffic decreased by 9.7% from May to June, with the steepest decline of 10.3% occurring in the United States. Globally, unique visitors to the site dipped by 5.7%, and the time spent on the site dropped by 8.5%.
Similarweb noted, In June, traffic and engagement for ChatGPT finally began to retreat after months of dizzying growth. This decline comes after the chatbot amassed 100 million users within the first few months of its launch.
Visitor engagement with ChatGPT is also experiencing a decline. Similarweb mentioned that in May, engagement was already down 8.5%, although data for June is not yet available.
The decrease in interest surrounding ChatGPT serves as a warning sign that the novelty of AI chatbots may be wearing off. Similarweb stated that chatbots will now have to prove their worth instead of relying on assumptions.
This decline in ChatGPT usage aligns with the observation that Goldman Sachs’ S&T desk has noticed a shift in investors’ interest away from AI stocks towards electric vehicle (EV) stocks. Furthermore, news stories related to ChatGPT have been experiencing a decline since early May.
Experts such as Jim Bianco, President of Bianco Research, have cautioned that AI stocks are currently in a classic bubble. The diminishing interest in ChatGPT could potentially trigger the deflation of the AI bubble.
As AI’s risks are as substantial as its potential, according to Epoch Times’ Fan Yu, it remains uncertain whether AI’s impact will resemble that of the internet or the Google Glass, with only time revealing the true outcome.
In conclusion, the decline in traffic and engagement for ChatGPT suggests that the excitement around AI chatbots may be fading. As investors redirect their attention towards EV stocks and news stories about ChatGPT dwindle, it becomes evident that AI stocks may be in a bubble. The long-term impact of AI’s potential and risks remains uncertain, and the decline of the AI bubble may hinge on the validation of the worth of chatbots in the coming months.
