Canva's AI bill shock causes rare revenue downgrade

Canva said quarterly revenue of $921.9 million fell below earlier guidance as the company blamed rising costs of building products with frontier artificial intelligence models for product launch delays. The Australian Financial Review reported Monday that the $US42 billion valued private technology giant disclosed the figures in a second quarter update sent to investors. Revenue was up 25.2 per cent on the same time last year but missed internal targets. The company attributed the shortfall to lengthy product launch delays caused by the expense of developing AI features.