On February 27, 2025, SoundHound AI hosted its fourth-quarter earnings call, showcasing a strong performance that exceeded expectations. CEO Keyvan Mohajer and CFO Nitesh Sharan outlined significant financial achievements and strategic initiatives that align with the company’s vision of revolutionizing voice AI technology.

SoundHound reported a record revenue of $35 million for Q4 2024, marking an incredible growth rate of over 100% year-over-year. This milestone reflects the company’s ability to continuously adapt and thrive within the rapidly evolving voice AI market, boasting a compound annual growth rate of more than 50% over the past five years. Since its public offering less than three years ago, revenue has surged eightfold, queries have increased sevenfold, and bookings have grown fivefold.

Mohajer emphasized that the recent financial success is a result of a 20-year-long vision in the making. The introduction of their voice commerce ecosystem, the third pillar of their business strategy, seeks to integrate voice assistant technology with AI-driven customer service capabilities, delivering enhanced transaction opportunities for businesses and creating value for consumers through convenience and safety in transactions.

At CES, SoundHound provided a demonstration of the comprehensive experience offered in its voice commerce ecosystem, which allows users to discover and order food seamlessly through in-vehicle voice assistants. The response from the automotive sector has been promising, with several major automakers expressing interest in proof of concept projects (POCs).

In various sectors such as healthcare, fast food, government, and energy, SoundHound announced a series of notable wins. New partnerships were established with major brands like Burger King and Duke Health, further expanding their impact across different verticals. The firm also signed a contract with Coral Springs city government and is collaborating with General Dynamics to enhance its conversational AI capabilities for federal agencies.

Mohajer highlighted the strong future potential of the voice AI market, driven by growing demand for agentic AI solutions—where autonomous agents collaborate to achieve complex tasks. This shift from traditional API-driven systems to more intelligent and responsive platforms positions SoundHound favorably in the upcoming AI landscape.

During the Q&A segment, analysts sought insights into the effectiveness of their technology compared to larger competitors. Mohajer disclosed that their Polaris speech recognition model has outperformed established players like Google by significant margins in both accuracy and speed. These advancements underline the company’s commitment to maintaining a competitive edge and delivering superior technology to customers.

CFO Nitesh Sharan discussed the latest financial metrics, stating that the company’s revenue for the full year reached $85 million. The strong pipeline of future deals, particularly in diverse industries, suggests continued robust growth ahead. SoundHound also reported a substantial backlog of $1.2 billion in subscriptions and bookings, indicating a positive trajectory for future revenue realization.

Sharan noted improvements in customer concentration as well, with the top customer contributing slightly over 14% of total revenue compared to nearly half in the previous year. The strategic push towards more predictable and recurring revenue has positioned SoundHound favorably against market fluctuations and competition.

As SoundHound moves forward in 2025, both Mohajer and Sharan expressed confidence in their strategic initiatives, projecting heightened revenue targets between $157 million and $177 million for the year. With an increasing array of partners across various industries and a focus on technological innovation, the company is well-positioned to capitalize on the burgeoning demand for voice AI solutions.