How Does C3.ai Make its Money?
C3.ai is an enterprise artificial intelligence software company that provides a platform for building, deploying, and operating large-scale AI applications. The company offers pre-built AI applications for specific use cases including predictive maintenance, fraud detection, supply chain optimization, energy management, and anti-money laundering. C3.ai’s customers include major enterprises and government agencies in the oil and gas, utilities, manufacturing, financial services, and defense sectors. The company has gained significant attention due to its stock ticker — literally ‘AI’ — making it a lightning rod for AI-related trading activity. C3.ai has a notable partnership with Microsoft Azure and has been transitioning from a subscription model to consumption-based pricing.
C3.ai (AI) Business Model
C3.ai operates in the technology sector. Below is a summary of C3.ai’s revenue streams, how the company generates income, and the key financial metrics from its most recent annual report. This breakdown uses data from C3.ai’s 2024 fiscal year filings with the SEC.
C3.ai Competitors
C3.ai’s key competitors and comparable public companies in the technology sector include Palantir, Snowflake, Datadog, and Salesforce. Each of these companies competes for market share, investor attention, and revenue in overlapping segments. See how C3.ai stacks up by comparing their revenue breakdown, margins, and growth metrics.
C3.ai Competitors
C3.ai’s key competitors and comparable public companies in the technology sector include Palantir, Snowflake, Datadog, and Salesforce. Each of these companies competes for market share, investor attention, and revenue in overlapping segments. See how C3.ai stacks up by comparing their revenue breakdown, margins, and growth metrics.
Revenue Breakdown
| Segment | 2024 | 2023 | YoY Growth |
|---|---|---|---|
| Subscription (Platform & Application Licenses) | $280 | $250 | +12.0% |
| Professional Services | $50 | $55 | -9.1% |
| Total Revenue | $330 | $310 | +6.5% |
Subscription (Platform & Application Licenses) — 85% of Revenue
Professional Services — 15% of Revenue
Income Statement Overview
| Metric | 2024 | 2023 |
|---|---|---|
| Total Revenue | $330 | $310 |
| Cost of Revenue | $170 | $170 |
| Gross Profit | $160 | $140 |
| Operating Expenses | $420 | $430 |
| Operating Income | $-260 | $-290 |
| Net Income | $-210 | $-270 |
All values in millions USD unless otherwise stated.
Key Financial Metrics
- Gross Margin: 48.5%
- Operating Margin: -78.8%
- Revenue Growth: 6.5%
Is C3.ai Profitable?
C3.ai (AI) profitability depends on the reporting period and business cycle. Review the income statement above for the latest figures.
What to Watch
- Revenue acceleration from enterprise generative AI demand and pilot conversions
- Microsoft Azure partnership expansion and cloud marketplace traction
- Consumption-based pricing model transition timeline and impact on revenue growth
- Path to profitability as operating losses remain significant
C3.ai (AI) Financial Summary
C3.ai (AI) is a technology company that generated $330 in total revenue in fiscal year 2024. Revenue grew 6.5% year-over-year. For a deeper look at C3.ai’s revenue breakdown, business segments, and financial performance, review the detailed analysis above.