# NiCE's AI and Self-Service Annual Recurring Revenue Rises 52%

By John Kim

Canonical URL: https://www.tokenpost.com/news/business/35216
Published: 2026-10-20T02:10:36.000Z
Updated: 2026-10-20T02:10:36.000Z
Section: Business

> NiCE combined Cognigy with CXone after closing the acquisition in September 2025. Second-quarter companywide revenue grew 7.6% to $782.3 million.

NiCE's AI and self-service annual recurring revenue reached $362 million as of June 30, a 52% yearly rise that shows the growing scale of its customer service automation business.

Annual recurring revenue (ARR) is a yearly run rate for recurring business, not revenue recognized in a single quarter. On an annualized basis, the $362 million figure was about 15% of cloud revenue at NiCE's second-quarter rate of $609 million. That comparison uses four quarters at the reported cloud revenue rate; it does not place $362 million of AI and self-service revenue in the second quarter.

NiCE's total revenue for the three months ended June 30 increased 7.6% from a year earlier to $782.3 million. Cloud revenue climbed 12.6% to $609 million. Those quarterly growth rates and the 52% ARR increase describe different measures and periods.

For the 12 months through June 30, the company generated $2.8 billion in recurring revenue within $3.1 billion of total revenue. Those figures show the size of NiCE's existing recurring business alongside its AI and self-service run rate.

NiCE closed its acquisition of Cognigy on Sept. 8, 2025, adding conversational and agentic AI capabilities to its customer experience offerings. It has described Cognigy and CXone as a unified product built on shared data. AI agents in that product are trained on customer interaction data. When the deal closed, NiCE also planned to offer Cognigy separately.

In March, NiCE introduced an automation discovery capability that analyzes engagement data, including chats, voice interactions, routing signals and performance metrics. It identifies work suitable for automation and helps create AI agents. Philipp Heltewig, NiCE Cognigy's general manager and chief AI officer, described the challenge of running AI with “visibility, accountability, and measurable performance.”

NiCE's 2025 customer snapshot included more than 25,000 organizations in more than 150 countries, including 85 Fortune 100 companies. The $362 million ARR figure covers AI and self-service together and does not isolate Cognigy's contribution.