Core Insights - The year 2025 is widely recognized as the year of intelligent agents, with companies increasingly betting on this technology for survival [2] - Youyi Technology, established in 2007 and focused on MarTech, has begun exploring intelligent agent business since last year, raising questions about opportunities for a marketing-centric company in this domain [2] Group 1: Market Dynamics - AI search is expected to significantly impact internet operations, particularly for Gen Z users who are native to AI, making AI search a crucial aspect of brand communication [2] - As AI search becomes more prevalent, Generative Engine Optimization (GEO) will become a core focus for brand communication, replacing traditional SEO [2] Group 2: GEO Effectiveness - GEO's effectiveness can be assessed by predicting market demand and verifying whether communication content is indexed by large models, which is a key selling point of Youyi Technology's new GEO intelligent agent [4] - Youyi Technology has developed a multi-layered rule engine to simulate the indexing processes of mainstream large models, allowing for dynamic adjustments and validation strategies [4][5] Group 3: Market Potential - The AI search market is projected to reach $360 billion by 2029, with GEO expected to capture a portion of this market as a service provider [6][7] - The technology barrier for GEO is higher than traditional SEO, as the indexing and citation rules of large models are opaque, requiring GEO service providers to validate content through simulation testing [5] Group 4: Algorithm Fairness - The challenge of algorithm fairness arises as GEO aims to optimize algorithm results for brand enterprises, with concerns about the commercial viability of Youyi Technology's GEO intelligent agent still in early stages [7][8] - Some AI search platforms are proactively regulating advertising content to ensure user respect and content safety, indicating a shift in how advertising is integrated into AI-generated content [8] Group 5: Future Outlook - The future of GEO intelligent agents as a marketing vertical is still uncertain and will depend on collaboration among users, brands, and AI search platforms [9]

Q1 2025 Results and Key Themes - Zeta's Q1 2025 revenue reached $264 million, representing a 36% year-over-year growth[8] - Adjusted EBITDA for Q1 2025 was $47 million, a 53% increase year-over-year, with a margin of 177%, a 200 bps improvement[8] - The company repurchased 16 million shares, equivalent to $25 million, in Q1, and an additional 18 million shares, or $21 million, between April 1st and April 25th[7] Customer Growth and ARPU - Total scaled customers increased to 548, a 19% year-over-year increase[10] - Super-scaled customers reached 159, a 10% year-over-year increase[10] - Scaled customer ARPU was $467K, while super-scaled customer ARPU was $14 million[10] Guidance and Targets - The company is thoughtfully conservative, increasing Q2 revenue guidance by $2 million to $297 million, up 30% Y/Y, and FY revenue guidance by $2 million to $1242 million, up 23% Y/Y[7] - Q2 Adjusted EBITDA guidance increased by $05 million to $549 million, up 42% Y/Y, and FY Adjusted EBITDA guidance increased by $2 million to $2585 million, up 34% Y/Y[7] - The company is guiding for stock-based compensation expense to be $190 million in 2025, an improvement from $195 million in 2024[7] Zeta 2028 Targets - Zeta is tracking towards its 2028 revenue target of $21 billion+ with an implied 20% CAGR[33] - The 2028 Adjusted EBITDA target is $525 million+ with an implied 25% margin[33] - The 2028 Free Cash Flow target is $340 million+ with an implied 65% conversion FCF Margin[33]