Zoom Communications, Inc.
Zoom Communications, Inc. provides an Artificial Intelligence-first open work platform for human connection in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. The company offers Zoom Meetings that offers HD video, voice, chat, and content sharing through mobile devices, desktops, laptops, telephones, and conference room systems; Zoom Phone, a cloud phone system; and Zoom Team Chat enables users to share messages, images, files, and content in desktop, laptop, tablet, and mobile devices. It also provides Zoom Docs, a modular workspace; Zoom Whiteboard, an interactive canvas; Zoom Clips for capturing video and screen content; Zoom Rooms, a software-based conference room system; and Workspace Reservation. In addition, the company offers Zoom Contact Center, an omnichannel solution; Zoom Revenue Accelerator, a conversation intelligence software for Zoom Meetings and Zoom Phone; Zoom Events to manage, host, market, and report on all of virtual and hybrid events; Zoom Webinars Plus; and Zoom Webinars which supports interactive video presentations to large audiences. Further, it provides Workvivo, an all-in-one employee experience platform; Zoom Developer Platform and App Marketplace which integrates platform with other applications, platforms, websites, and services; and Zoom Apps. It serves individuals; and education, entertainment/media, enterprise infrastructure, finance, government, healthcare, manufacturing, non-profit/not for profit and social impact, retail/consumer products, and software/Internet industries. The company was formerly known as Zoom Video Communications, Inc. and changed its name to Zoom Communications, Inc. in November 2024. The company was incorporated in 2011 and is headquartered in San Jose, California.
What does it do?
Zoom is the company behind the video calling app that became a household name during the pandemic — you've probably used it for a work meeting, a doctor's appointment, or even a virtual birthday party. Beyond video calls, Zoom now offers a full suite of workplace tools: a cloud-based phone system, team messaging, AI-powered meeting summaries, and even a contact center for customer service teams. Think of it as trying to be the one app your entire workplace runs on, competing directly with Microsoft Teams and Google Meet. It operates globally, with customers ranging from solo freelancers to Fortune 500 companies.
Zoom is at a critical turning point — it built one of the most recognizable brands in tech during the pandemic, but now it has to prove it can grow beyond video calls in a world where Microsoft and Google bundle competing tools for free. The company is betting heavily on artificial intelligence to add enough value that businesses will pay for Zoom specifically, rather than just using whatever comes with their existing software subscriptions. Whether Zoom can reinvent itself as an AI-powered productivity platform is one of the more interesting turnaround stories in tech right now.
How does it make money?
Zoom makes almost all of its money through subscriptions — businesses and individuals pay a monthly or annual fee to access its platform. Its $4.9 billion in annual revenue comes primarily from two groups: online customers (smaller businesses and individuals who self-serve through the website) and enterprise customers (large companies with dedicated sales contracts, which tend to be stickier and higher-value). The company grew revenue about 4% year-over-year from $4.7 billion to $4.9 billion, which is slow but steady. It also reported $1.9 billion in net income, meaning it is meaningfully profitable — a real positive for a tech company its size.
Why do investors care?
Investors who are bullish on Zoom believe the AI push is the key to reigniting growth — features like automatic meeting summaries, AI assistants, and smart scheduling give customers a reason to pay more and stay longer. The growth story hinges on upselling existing customers to pricier AI-enhanced plans rather than just adding new users. For this to work, Zoom needs to prove that its AI features are genuinely better than what Microsoft Teams or Google offer for free bundled with their productivity suites. The company's profitability gives it financial breathing room to invest in that race without burning through cash.
Deep Dive
MemberA full investor briefing on Zoom Communications, Inc. — history, leadership, risks, and outlook.