Verint Systems stock falls after reports of seeking buyer amid AI disruption

Published 01/07/2025, 17:36
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Investing.com -- Verint Systems Inc (NASDAQ:VRNT) stock dropped 3.3% following reporting from Semafor that the company has hired bankers to explore a potential sale, according to people familiar with the matter.

The $1.2 billion call center software provider’s move to seek a buyer comes as artificial intelligence increasingly threatens to disrupt the customer service industry. The sale process could serve as an early indicator of how AI is transforming established sectors, particularly call centers where automated AI agents could potentially replace human representatives for tasks like negotiating refunds and handling flight changes.

Despite efforts to position itself as an AI-forward company, Verint’s stock has struggled this year, declining approximately 25% YoY. The current market reaction suggests investors remain cautious about the company’s prospects in an increasingly AI-dominated landscape.

Verint specializes in software solutions for call centers, a business model that faces growing challenges as companies evaluate whether to maintain large customer service teams when AI alternatives are becoming more capable and cost-effective.

The company has not publicly confirmed the sale process, and it remains unclear which potential buyers might express interest in acquiring the business.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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