Amplitude CFO Andrew Casey outlined the company’s 2026 transformation into a unified data and decisioning platform, anchored by new AI agent capabilities and a revamped pricing model. Management described a strategic shift from fragmented tools to a consolidated platform where agents enable "self-improving products." A major focus was the transition to a transparent, value-based pricing structure designed to remove friction and encourage multi-product adoption. Financially, Amplitude aims to expand Net Revenue Retention to 115% through cross-selling, while balancing new logo growth and optimizing long-term operating margins as it scales up-market.

Key Takeaways

• Pricing Overhaul: Amplitude replaced a complex, penalty-heavy billing model with a "value based uplift" system; instead of separate meters, the cost per event increases (e.g., from $20 to $26 or $32) as customers adopt additional modules like experimentation.
• AI Agent Rollout: New agent capabilities were introduced to automate insights, run experiments, and summarize session replays, lowering technical barriers for non-technical users.
• Net Retention Goals: Current Net Retention is approximately 105%, with a long-term goal of 115%; while 74% of customers use two products, only 20% utilize five, providing significant cross-sell opportunity.
• New Business Mix: The company is shifting from a 30% new logo / 70% expansion mix toward a balanced 50/50 or 40/60 split, achieving a record number of new lands over $100k in Q4.
• Partnership Expansion: Partner-originated pipeline has historically been only 2%, but the company targets a long-term goal of "north of 30%," leveraging relationships with AWS, HubSpot, and others.
• Long-Term Margins: Management targets long-term gross margins in the "low eighties" and plans to reduce Sales & Marketing expense from the low 40s to the "low thirties" as a percentage of revenue.
• Contract Durations: RPO grew 35% year-over-year with contract duration nearing 22 months, driven by a shift in enterprise deals from 12-month terms to 3-year commitments.

Q&A

Lucas Ursula (Morgan Stanley): What are the key variables you are most excited about regarding the platform's evolution over the next 12 to 18 months?

• Andrew Casey: The company is driving consolidation in a fragmented market by integrating applications like experimentation and session replay into one environment. The introduction of agents enables "self improving products" where the software autonomously generates insights and recommendations, making the platform crucial for product and marketing analytics.

Lucas Ursula (Morgan Stanley): Can you detail how the new pricing and packaging model works compared to the previous structure?

• Andrew Casey: The old model had "penalty" clauses charging 2x or 3x for overages, which inhibited adoption. The new model maintains the volumetric meter (data ingestion) used by "86% of our installed base" but applies a value-based uplift; for example, a base rate of $20 might rise to $32 per unit as customers add modules, providing "cost, predictability, transparency."

Lucas Ursula (Morgan Stanley): How do you plan to bridge the gap from the current 105% Net Retention to your long-term goal of 115%?

• Andrew Casey: Improvement will come from eliminating churn caused by poor historical selling practices (such as over-capacity contracts) and accelerating cross-sell. With "74% of our customers" on two products but only "20% of our customers" on five, there is substantial room to expand within the existing base using new modules.

Lucas Ursula (Morgan Stanley): What is the desired balance between new logo acquisition and expansion within the installed base?

• Andrew Casey: The mix has historically been "30% new logos and 70% expansion," but the goal is to shift this closer to "50/50 or 40/60." In Q4, the company saw a "record number of new logos" and lands greater than $100k, indicating progress toward this balance.