Summary of Five9 Conference Call Company Overview - **Company**: Five9 - **Industry**: Contact Center as a Service (CCaaS) - **Market Size**: $24 billion core CCaaS market, with AI as an additional Total Addressable Market (TAM) opportunity [10][12] Key Points Market Position and Growth - Five9 is a $1 billion company with mid-teen revenue growth, primarily targeting large enterprises [3][4] - Over 50% of recurring revenue comes from customers generating $1 million or more in Annual Recurring Revenue (ARR) [4] - AI now constitutes 9% of subscription revenue, growing at 32% year-over-year [5] AI Integration and Impact - AI is seen as an additive opportunity, enhancing customer experience and expanding TAM [6][12] - The company emphasizes that AI will not replace a significant portion of human agents, with estimates suggesting only 5-10% of interactions may be handled by AI over time [11][22] - Five9's AI solutions include self-service AI agents, Agent Assist, and post-interaction automation [25][26] Competitive Landscape - Five9 is positioned as a pure cloud SaaS company, unlike competitors with legacy systems [52] - The company highlights its reliability, scalability, and customer-centric approach as key differentiators [53][54] Customer Readiness and Market Dynamics - Customers are increasingly prepared to adopt AI, with many having dedicated AI teams or committees [39] - The company has focused on delivering tangible ROI and practical use cases for AI deployment [40] Pricing Strategy - AI products are primarily offered on a consumption-based pricing model, allowing for predictable costs [45][46] - Customers are using AI to optimize labor costs, often maintaining or slightly reducing human agent counts while enhancing service quality [49][51] Future Outlook - Five9 anticipates continued growth in the CCaaS market, with a stable macro environment despite some international tariff concerns [64][66] - The company maintains an annual guidance of $1.14 billion, reflecting a 10% year-over-year growth target [64] Additional Insights - Five9 has made strategic acquisitions to enhance its AI capabilities, including Inference and Wendu [26][27] - The company is actively partnering with major platforms like Salesforce to integrate AI solutions effectively [29][43] - Five9's focus on customer experience and support is a critical aspect of its strategy, aiming to differentiate itself in a competitive market [54][55]

Q1 2025 Investor Presentation Five9 (NASDAQ: FIVN) Safe Harbor This presentation is proprietary and is intended solely for the information of the persons to whom it is presented. Disclosure of this presentation, its contents, extracts or abstracts to third parties is not authorized without the express written permission of Five9, Inc. (the "Company"), and it may not be retained, reproduced or distributed, in whole or in part, by any means (including electronic) without the prior written consent of Five9, In ...