In episode #284, let’s break down AI ARR.  As artificial intelligence transforms SaaS business models, a new metric is gaining traction: AI ARR (Artificial Intelligence Annual Recurring Revenue). But what exactly is AI ARR, how do public SaaS companies define it, and why should private SaaS operators care?

In this episode, Ben Murray dives deep into how companies like Verint Systems are reporting AI ARR in their earnings and press releases. Ben breaks down the nuances of these definitions, the implications for SaaS valuation, and what founders, CFOs, and GTM teams need to know to stay ahead of the curve.

Key Topics Covered

What Is AI ARR?

Understand how public companies define AI-based recurring revenue and what makes it distinct from traditional ARR or subscription ARR.

Case Study: Verint’s AI ARR Disclosure

Learn how Verint, a customer and communication automation platform, separates AI ARR from Subscription ARR, and why AI now accounts for 50% of its recurring revenue.

Run Rate vs. Recognized Revenue

Explore the concept of “annualized quarterly run rate” and why some AI ARR definitions include overages and signed (but not yet active) SaaS contracts.

Why AI ARR Matters for SaaS Metrics & Board Reporting

Discover how AI ARR can become a key growth driver metric, especially for AI-first SaaS platforms or tools with significant AI adoption.

Benchmarking and Financial Transparency Trends

Understand why SaaS companies are simplifying metric reporting and focusing on high-signal KPIs like AI ARR for investors and stakeholders.

Who Should Listen

Anyone serious about becoming a SaaS metrics expert

Why This Episode Matters

As SaaS businesses race to integrate and monetize AI, understanding how to measure, disclose, and leverage AI ARR could be your edge in strategic planning, fundraising, or M&A.

SaaS Metrics School isn’t just about numbers—it’s about empowering you to lead with data.

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