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Zuora Announces Acquisition of AI Solution Sub(x) to Enhance Paywall Offering

Author

Slice of Finance Team
21 Jun

Key Highlights:

  • Zuora plans to acquire Sub(x), enhancing its paywall solution with AI.

  • Sub(x) uses reinforcement learning to optimize subscriber engagement.

  • Acquisition expected to close by Zuora’s third quarter fiscal 2025.

  • Financial advisors: Foros for Zuora, Gerald Edelman LLP for Sub(x).

Source (Business Wire)

Notable Quotes

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“Joining Zuora will give companies new agility to harness AI and monetize across their business.”

Jonathan Harris, Founder and CEO at Sub(x)
❝

“Sub(x) adds a cutting-edge AI layer to Zuora, empowering our customers to constantly learn, present the right offers and continue to engage subscribers as preferences change over time.”

Tien Tzuo, Founder and CEO at Zuora

Our Take:

Zuora's acquisition of Sub(x) signifies a strategic move to integrate advanced AI capabilities into its monetization suite. This enhancement will provide media companies with robust tools to dynamically optimize subscriber engagement and retention, crucial in today's rapidly evolving digital landscape. By leveraging Sub(x)'s reinforcement learning, Zuora can offer its clients unprecedented agility in adapting to changing market conditions, ultimately driving sustained revenue growth. This acquisition not only strengthens Zuora's market position but also sets a new standard for AI-driven monetization solutions in the industry.