**San Francisco**: As Salesforce prepares to release its Q4 fiscal 2025 earnings, attention is on its AI efforts, including DeepSeek’s cost-effective models and Agentforce, amid mixed analyst reactions and expectations of revenue growth driven by new technologies and strategic partnerships.
As Salesforce Inc. gears up to release its fourth-quarter earnings report for fiscal year 2025, the spotlight is on its artificial intelligence (AI) initiatives, specifically the integration of DeepSeek’s cost-efficient AI models and the company’s autonomous AI agent platform, Agentforce. Analysts and investors are particularly interested in how these advancements may shape the company’s growth, revenue streams, and competitive positioning in the enterprise software market.
DeepSeek, a prominent Chinese AI research institution, has garnered attention for its innovative development of AI models that significantly lower the costs associated with traditional high-end infrastructure, typically dominated by firms like Nvidia. This presents an opportunity for Salesforce to enhance its AI-driven offerings, as high costs have historically hampered widespread imbuement of AI capabilities within enterprise software. By adopting DeepSeek’s affordable solutions, Salesforce may not only improve efficiency within its platforms but also strengthen its status as a key provider of enterprise solutions.
Salesforce is implementing DeepSeek’s models across several of its major divisions, including its built-in AI assistant, Einstein, which is expected to benefit from enhanced machine learning capabilities. Other areas likely to see improvements include Salesforce’s AI-powered Data Cloud, which aims to facilitate more effective data processing and customer behaviour analysis, as well as Agentforce, which could see its decision-making processes bolstered by DeepSeek’s technology.
Agentforce, launched in October 2024, is another critical component of Salesforce’s future strategy. This platform aims to revolutionise business automation by allowing companies to utilise AI agents to streamline operations. The adoption of Agentforce has already been noted among several major corporations—including FedEx, Heathrow Airport, Adecco, and Brenntag—which are leveraging the platform’s capabilities for customer service automation and sales process optimisation. This trend positions Agentforce as a potential significant driver of revenue growth for Salesforce over the coming years.
Salesforce’s upcoming earnings report is highly anticipated, with analysts predicting robust financial performance. Expectations for the fourth quarter of 2025 project revenues of $10.04 billion, marking an 8% increase from the previous year, alongside adjusted earnings per share (EPS) forecasted to rise to $2.62 from $2.29. This steady growth is largely attributed to the company’s AI initiatives, particularly the expansion of Agentforce and deeper integration of AI throughout its offerings.
Reactions from industry analysts have shown mixed perspectives. Deutsche Bank has maintained a “buy” rating, noting optimism regarding Salesforce’s AI-driven growth, particularly the promise posed by Agentforce. Analysts suggest that the company’s AI strategies are set to enhance customer retention and drive up revenue per user. Conversely, Guggenheim analyst John DiFucci has downgraded Salesforce to “sell,” citing concerns over the company’s ability to effectively monetise its AI offerings without further acquisitions and questioning the competitiveness of its existing data systems.
Salesforce has also strengthened its strategic collaboration with Google, integrating Google’s Gemini generative AI chatbot tool into Agentforce, which is anticipated to bolster its conversational AI capabilities. This partnership is viewed as a means to enhance the scalability of Salesforce’s AI solutions, enabling it to better compete against rivals such as Microsoft and Oracle in the rapidly evolving AI-driven enterprise software landscape.
The competitive environment presents several challenges and risks for Salesforce, particularly concerning monetisation of its AI solutions and potential market share losses due to rivals. Additionally, regulatory shifts regarding AI applications could impact Salesforce’s business model, alongside the influence of macroeconomic factors such as inflation that may hinder enterprise investments in AI solutions.
In conclusion, as Salesforce prepares to unveil its earnings results, stakeholders are keenly monitoring its ability to leverage DeepSeek’s innovations and the traction of Agentforce in the market. While the outlook remains cautiously optimistic, with analyst perspectives varying widely, the efficacy of Salesforce’s AI monetisation efforts, customer adoption rates, and competitive positioning will ultimately be pivotal in determining its future growth trajectory.
Source: Noah Wire Services
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