Why Cloudflare Looms Among Emerging AI Stocks Amid OpenAI Cloud Deal


Usage of ChatGPT has exploded since its debut on Nov. 30. Potential upside for Cloudflare is related to how ChatGPT queries are processed in the internet cloud.

Started in 2009, San Francisco-based Cloudflare speeds up and provides security for web applications routed through its intelligent global network.

“What investors might have missed is that the ‘performance and security’ of chat.openai.com is done by Cloudflare,” SVB MoffettNathanson analyst Sterling Auty said in a note to clients.

In a preview of Cloudflare’s fourth-quarter earnings, RBC analyst Matthew Hedberg said: “In terms of incremental 2023 drivers, we look to Apple and ChatGPT as interesting growth opportunities.”

(Source: Investors.com)

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