Tech Stocks Slide as OpenAI Weighs IPO Delay and Z.ai Undercuts Rivals at 25% Cost
Updated
Updated · CNBC · Jun 26
Tech Stocks Slide as OpenAI Weighs IPO Delay and Z.ai Undercuts Rivals at 25% Cost
3 articles · Updated · CNBC · Jun 26
Summary
Micron fell 7% early Friday, while AMD and Intel dropped more than 4%, extending a weeklong tech selloff tied to worries about AI valuations and spending.
The immediate trigger was a report that OpenAI may delay its IPO after SpaceX shares underperformed and tech volatility worsened, denting confidence in upcoming AI listings.
Analysts said the bigger threat is Z.ai's new GLM5.2 model, which Jefferies called nearly on par with Anthropic for enterprise use at about one-quarter of the token cost.
Morgan Stanley said customers appear to be trading down to cheaper models rather than abandoning AI, raising the risk of price pressure on OpenAI and Anthropic before any listings.
That shift could also weaken assumptions behind the AI infrastructure boom, with Oracle already down 19% over five days as investors reassess cloud and data-center spending.
As Chinese AI captures the market at a fraction of the cost, is the era of trillion-dollar AI valuations already over?
US firms are flocking to cheaper Chinese AI. How does America's 'AI Action Plan' address this economic reality?
With high-performing AI now 98% cheaper, why would any company still pay the premium for American models?
OpenAI’s $852B IPO Delay, Chinese AI Price Wars, and the Shifting Global AI Power Balance
Overview
OpenAI confidentially filed its IPO plan with the SEC in June 2026, starting the process to go public, but is now reportedly considering delaying its IPO until 2027. This move comes amid broader market jitters around AI stocks and was influenced by the volatile performance of other high-profile companies like SpaceX. The potential postponement could disappoint investors who expected major gains from leading AI firms going public. At the same time, competition is heating up, as Anthropic also filed for an IPO, raising the stakes for who will set the market standard for AI company valuations.