Zoom results preview: Will its AI strategy help retain customers?
Zoom Video Communications will report its latest financial after the US market close later. Wall Street analysts expect EPS of $1.14, which would be a 6% decline on the same quarter last year.
Revenue, meanwhile, is expected to rise by 1% year-over-year to $1.13 billion. Investors will be looking to see the company’s strategy plans now the Covid-19 pandemic is behind us with the group set to lean on generative AI to retain and expand its customer base, as IGTV’s Angela Barnes explains.
(AI Video Summary)
Zoom Video Communications
Zoom Video Communications is about to release its financial results, and while profits are expected to be slightly lower compared to last year, the company's revenue is predicted to rise. To strengthen its market position, Zoom is focusing on incorporating generative AI technology into its services. As part of this strategy, the company invested in AnthroPick, an AI startup, and plans to integrate its AI model into their contact center platform. Additionally, Zoom has launched tools like Zoom Workforce Management and Zoom AI Companion, aimed at optimizing productivity and team performance.
Microsoft Teams
What's interesting is that Zoom has stated that these AI tools will be available to customers for free. This is a strategic move to attract and retain more users, as the company faces fierce competition from Microsoft Teams in the AI field.
Zoom's pre-market shares
Despite experiencing a decline in its stock value earlier this year, Zoom's pre-market shares are showing a slight increase. The company's stock is listed as the second stock on the IT platform, with trading scheduled to begin at 9 am UK time.
Zoom's AI technology
Overall, Zoom's focus on integrating AI technology into their services shows their ambition to stay ahead in the market. By investing in AI startups and offering free AI tools to customers, Zoom aims to provide enhanced features and maintain its customer base. It will be interesting to see how the company competes with Microsoft Teams in the AI race and how investors will respond to their financial results.
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