--- title: "BuzzFeed Nearing Bankruptcy After Disastrous Turn Toward AI" description: "Three years after its pivot to AI, the writing is on the wall for BuzzFeed. The company said there's \"substantial doubt\" it can keep going." date: "2026-03-13" modified: "2026-03-13" authors: - name: "Victor Tangermann" job_title: "Senior Editor" link: "https://futurism.com/authors/victor" url: "https://futurism.com/artificial-intelligence/buzzfeed-disastrous-earnings-ai" categories: - "Artificial Intelligence" - "Ethics" --- # BuzzFeed Nearing Bankruptcy After Disastrous Turn Toward AI ![Three years after its pivot to AI, the writing is on the wall for BuzzFeed. The company said there's "substantial doubt" it can keep going.]() *Futurism* 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*]() ## Author I've been at Futurism since 2017, where my role has evolved to encompass design, writing, and increasingly editing. I've always been fascinated by space exploration and advanced transportation, which I've leaned into by interviewing luminaries in those fields while closely following the dimensions of policy and regulation that allow next-generation projects to succeed -- or, sometimes, to fail. I'm also keenly interested in the effects of generative AI on society, policies, and democratic institutions, as well as clean energy, physics and biology, and the vagaries of tech leadership. My work for Futurism has been cited by publications including Ars Technica, Gizmodo, PC Magazine, Jalopnik, Fox News, and the New York Post. I spent my childhood living in locations including Manila, the Philippines, and Geneva, Switzerland, attended McGill University, and now live in Toronto, Canada. Before Futurism I worked at AskMen and a small photography studio. In my free time, I'm an avid gardener, foodie, and craft beer lover, as well as a maker of artisanal hot pepper sauces. I have a magnificent dog named Freida. ### Author social links [Bluesky]()