TLDR:
Smartsheet CEO Mark Mader discusses AI, hiring, and the changing landscape of tech spending in an interview with GeekWire. The company surpassed $1 billion in annualized recurring revenue, despite cautious expansion trends. AI features are driving customer interest and the company is making leadership changes. Financially, Smartsheet saw a 21% revenue increase in the fourth quarter, exceeding analyst expectations.
Key Points:
- Smartsheet surpassed $1 billion in annual recurring revenue.
- AI features are boosting customer interest and curiosity.
Business software company Smartsheet achieved a significant milestone, surpassing $1 billion in annualized recurring revenue in the fourth quarter. Despite many companies exercising caution in expanding their commitments to tech vendors, Smartsheet CEO Mark Mader notes that the demand for technology is higher than ever. The company offers cloud-based enterprise work management technologies for project management, collaboration, data storage, task automation, and assignment. Competitors include Airtable, Asana, Atlassian, and others.
Customers are now closely scrutinizing software purchases, evaluating expected return on investment, which impacts expansion decisions. However, AI is driving interest with Smartsheet recently launching AI features that allow for natural language formulas and data interpretation. The company is using AI technologies from Microsoft Azure and Google AI.
Leadership changes were announced at Smartsheet, with Max Long joining as president of go-to-market. Long will lead a newly unified operations and marketing team. The company also saw strong financial results in the fourth quarter, with revenue rising 21% and operating profits increasing. However, first quarter guidance led to a decline in shares, as analysts questioned spending decisions.