In January 2023, BuzzFeed CEO Jonah Peretti announced in a memo to staff that the company was making a hard pivot to AI — years before the word “slop” was added to the public lexicon.
In the memo, which was published roughly two months after OpenAI unveiled its groundbreaking ChatGPT chatbot, Peretti said BuzzFeed would be using the software to enhance the company’s infamous quizzes by generating personalized responses.
The company’s stock price jumped aggressively, from around $3 per share to north of $15. But longer-term, neither insiders nor the public were particularly compelled by the move. Nonetheless, Peretti doubled down, promising in May 2023 that AI will “replace the majority of static content” on the site, just a month after shuttting down its Pulitzer Prize-winning BuzzFeed News division.
Reality soon set in. The AI quizzes were underwhelming, and the site was soon caught publishing entire AI-generated articles that were sloppy and repetitive. After the initial spike in enthusiasm, the company’s stock took a massive beating; as of this week, its shares are hovering around 70 cents.
Now, three years after its AI pivot, the writing is on the wall. The company reported a net loss of $57.3 million in 2025 in an earnings report released on Thursday. In an official statement, the company glumly hinted at the possibility of going under sooner rather than later, writing that “there is substantial doubt about the Company’s ability to continue as a going concern.”
The company’s chief financial officer, Matt Omer, admitted that the company was having “strategic conversations” about relieving its liquidity issues.
“Three years ago we had over $180 million in debt — we’ve reduced that by more than 65 percent,” he said. “While we’ve significantly reduced operating costs and real estate obligations, we’re still facing legacy commitments that are burdening the business.”
The brutal reality check seemingly hasn’t put Peretti off from pursuing AI, though. He now says he’s hoping to bring “new AI apps to the market” this year.
More on Buzzfeed: BuzzFeed Is Quietly Publishing Whole AI-Generated Articles, Not Just Quizzes