Company: ZM
Filing Date: 2025-11-25
Form Type: 10-Q
Source: 0001585521-25-000202
Chunk: 272

Company: Zoom Communications, Inc.
Filing Date: 2025-11-25
Form: 10-Q
Item: Part I, Item 1
Chunk 272
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RR as the recurring revenue run-rate of subscription agreements from all Online customers except for subscriptions that we recorded as churn in a previous quarter based on the customers' earlier indication to us of their intention to cancel that subscription. We then determine the MRR related to customers who canceled or downgraded their subscription or notified us of that intention during the applicable quarter (“Applicable Quarter MRR Churn”) and divide the Applicable Quarter MRR Churn by the applicable quarter Entry MRR to arrive at the MRR churn rate for Online customers. We then divide that amount by three to calculate the Online average monthly churn for the applicable quarter.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         

Innovation and Expansion of Our Platform

We continue to invest and enhance the capabilities of Zoom Workplace and Zoom Business Services. This includes ongoing investments in AI, with a focus on expanding agentic AI skills, agents, and models. Recent product innovations and enhancements include Zoom AI Companion, Zoom Docs, Zoom Tasks and continued enhancements for Phone, Meetings, Zoom Rooms, Sessions, Webinars, Events, Workvivo, Contact Center, and more. As of October 31, 2025, we also delivered Zoom Phone calling plans in more than 45 countries and territories.

Earlier this year, we launched several products and enhancements, including new agentic AI offerings that drive productivity and collaboration, new app integrations for the Custom AI Companion add-on, a next-generation Zoom Virtual Agent that enhances customer support experiences, innovations in Zoom Spaces to improve collaboration, and updates to real-time media streams for better communication. The next-generation Zoom Virtual Agent is an AI-driven solution that uses agentic AI to autonomously resolve customer support issues across chat and voice channels. It features advanced reasoning, integrates with Zoom Contact Center and other leading platforms, and helps reduce escalations while improving efficiency and satisfaction.

At Zoomtopia 2025, our annual user conference held in September, we announced several strategic platform innovations, including AI Companion 3.0, which we expect to be generally available in December 2025 for all paid Zoom Workplace users at no additional cost. AI Companion 3.0 will introduce more proactive assistance with tasks such as meeting prioritization, agenda creation, and “catch me up” summaries, along with unified, context-aware search across internal and external data sources, enhanced report generation and research tools, and an expanded workspace designed to improve productivity.

We also enhanced the Custom AI Companion add-on, enabling users to create and