Chegg: How a Single Product Launch Killed a $14B Business

📩 Stay ahead of bankruptcies, distressed debt, and leveraged finance — subscribe to the newsletter: https://www.junkbondinvestor.com/ Chegg had 8 million paying subscribers, 70,000 tutors, and a library of 46 million homework answers. Students paid $15 a month. Then ChatGPT launched and made all of it free overnight. This is the full story of how a $14 billion edtech company got hit by two AI products at the same time — ChatGPT took the customers, Google AI Overviews cut off the traffic — and why almost no business survives both at once. In a surprise twist, Chegg regained NYSE compliance on June 1st 2026 and scrapped its reverse stock split plan after pivoting to AI model training and B2B skilling. 🔔 Subscribe for weekly breakdowns of the biggest business collapses in the world. Chegg CHGG stock Dan Rosensweig ChatGPT Google AI Overviews edtech collapse homework help app Busuu acquisition convertible notes NYSE delisting notice reverse stock split CheggMate OpenAI partnership Google lawsuit subscriber decline goodwill writedown AI disruption textbook rental homework answers B2B skilling workforce training edtech industry $14 billion valuation student subscription AI model training Nathan Schultz Cramster acquisition student platform collapse Anti-AI Data centers