Cloudflare shares declined after a widespread service outage disrupted thousands of websites and applications, including ChatGPT, Zoom and several major online gaming services. The incident marks another reliability setback for the internet infrastructure provider, which powers a significant share of global web traffic.
The outage caused loading failures and connection issues across consumer and enterprise platforms, prompting businesses to reroute traffic and users to report service interruptions worldwide. While Cloudflare began restoring functionality, the disruption highlighted ongoing concerns about the centralized infrastructure that underpins large portions of the internet.
Analysts say repeated outages could weigh on customer confidence and raise questions about Cloudflare’s capacity to support the surging demand from AI, streaming and gaming workloads. Investors will be watching for the company’s technical explanation and any commitments to strengthen network resilience.