Oversubscribe

To receive applications, subscriptions, or bids for something in a quantity that exceeds the available supply or capacity. This often occurs in financial markets with initial public offerings (IPOs) or bond issuances, but can also apply to events, services, or limited resources. Oversubscription implies high demand and, consequently, not all applicants may receive what they requested, leading to a rationing or allocation process to distribute the limited resources effectively. The surplus of demand signifies considerable interest or confidence in what is being offered.

Oversubscribe meaning with examples

• The initial public offering (IPO) of the new tech company was heavily oversubscribed. Investor demand far surpassed the number of shares available, which drove the price up sharply on the secondary market. Many interested buyers missed out entirely.
• The university's most popular online course was significantly oversubscribed. The number of students who registered far exceeded the capacity, requiring the university to implement a lottery system to determine who could enroll for the session.
• The limited edition merchandise release was immediately oversubscribed online. Website servers struggled to handle the enormous volume of traffic as customers desperately tried to secure their purchase before the product sold out.
• The charity event for hurricane relief was quickly oversubscribed with volunteers. More people showed up than the event organizers could effectively utilize, resulting in them having to find alternative ways to utilize the volunteers.