Zoom No Longer "Pandemic Darling," Agentic A.I.'s Rebound Potential for ZM

Core Viewpoint - Zoom, once a pandemic favorite, is facing challenges as the market shifts back to in-person work and competition increases from platforms like Microsoft Teams and Google Workspace [2][3][4] Company Performance Expectations - Earnings per share (EPS) is anticipated to be $1.43, with revenue expected to exceed $1.22 billion [4][6] - Key metrics to watch include the performance of Zoom's contact center business, which is seen as a growth area [6][8] Competitive Landscape - Zoom must adapt its strategy to compete with Microsoft and Google, particularly in the realm of AI integration and collaboration tools [9][10][13] - The company is focusing on democratizing its AI features to enhance user engagement without increasing costs [9][11] Future Positioning - Zoom needs to transition from being solely a communication tool to a platform that facilitates collaboration and integrates with other services [7][12][14] - The success of Zoom's enterprise sector and its ability to attract large clients will be critical indicators of future performance [8][16] Industry Outlook - The tech sector is experiencing seat compression due to AI-driven layoffs, which may impact demand for Zoom's services [16][17] - The performance of Zoom could serve as a bellwether for the mid-market segment, reflecting broader trends in the tech industry [16][18]