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What happened: <\/strong>Oracle (ORCL<\/a>) and CoreWeave (CRWV<\/a>) came out in support of OpenAI on Tuesday after the Wall Street Journal<\/a> reported that the AI developer recently missed sales and user targets, renewing concerns about overspending in the sector.<\/p>\n Stock market reaction: <\/strong>Shares of companies partnering with OpenAI sank after the report signaled that OpenAI\u2019s business was slowing. Software giant Oracle and data center provider CoreWeave closed down roughly 4% and 5%, respectively.<\/p>\n Oracle defended the AI developer on X, writing,<\/a> \u201cWe\u2019re incredibly excited about our partnership with OpenAI and remain focused on building and delivering the capacity they need to support rapidly growing demand.\u201d<\/p>\n CoreWeave struck a similar tone in a statement to Yahoo Finance, but noted it had other partners.<\/p>\n \u201cOpenAI is a terrific partner, but not our only one,\u201d a CoreWeave spokesperson said, adding that the company has an \u201cexpanding set of customers like Meta Platforms, Anthropic, Microsoft, Google, IBM, Perplexity AI, Jane Street, and many others.\u201d<\/p>\n Shares of other companies that have partnerships with OpenAI also fell on Tuesday, including chip giants AMD (AMD<\/a>) and Nvidia (NVDA<\/a>).<\/p>\n Citing people familiar with the matter, the WSJ report said the startup fell short of its internal goal of 1 billion weekly active users for OpenAI\u2019s ChatGPT by year-end. It also reportedly missed its annual revenue target for the product. Meanwhile, Google\u2019s (GOOGL<\/a>, GOOG<\/a>) competing AI bot, Gemini, grew over the past year, eating into OpenAI\u2019s market share.<\/p>\n What else you need to know: <\/strong>OpenAI has been on a spending spree as CEO Sam Altman has raced to secure computing power. The missed metrics have renewed concerns<\/a> about the company\u2019s mounting costs amid increasing competition. The report also comes at a crucial time as the company was reportedly preparing to go public this year.<\/p>\n Last month, OpenAI announced it closed<\/a> its latest funding round, raising $122 billion in commitments at a valuation of $852 billion. That\u2019s more than the $110 billion the company said it raised in February<\/a>, when it was valued at $730 billion.<\/p>\n Ines Ferre is a senior business reporter for Yahoo Finance. Follow her on X at <\/em>@ines_ferre<\/em><\/a>.<\/em><\/p>\n Click here for an in-depth analysis of the latest stock market news and events moving stock prices<\/strong><\/a><\/p>\n Read the latest financial and business news from Yahoo Finance<\/strong><\/a><\/p>\n<\/p><\/div>\n