SoundHound AI and AppLovin Show Rapid Growth Despite Market Challenges

NEW YORK, NY — October 6, 2025 — SoundHound AI is making waves in the tech industry with a remarkable revenue growth of 217% year over year, reaching $42.7 million last quarter. The company, which began as a voice recognition service, is now transforming into a voice-first AI platform aimed at revolutionizing how AI agents operate. Management forecasts achieving adjusted profitability by the end of 2025.

SoundHound’s technology enables real-time speech processing and deep understanding, allowing AI to grasp user intentions even before they finish speaking. This leap towards more sophisticated AI interactions reflects a shift from basic chatbots to advanced agents capable of task execution through natural conversations.

Last year, SoundHound acquired Amelia, expanding its presence in sectors such as healthcare and finance. This merger led to the creation of Amelia 7.0, which operates more like a digital employee that can seamlessly integrate with enterprise systems to resolve issues and complete transactions.

The company is currently migrating 15 of its largest clients to this innovative platform and has recently acquired Interactions to enhance its AI orchestration capabilities. Despite facing tough competition, SoundHound’s voice-first strategy positions it well for significant market differentiation.

Meanwhile, AppLovin is also on an impressive growth trajectory, trading at a forward price-to-sales (P/S) multiple of under 42. Its revenue surged 77% to $1.26 billion last quarter, driven by its evolution from a mobile gaming company to an AI adtech leader. The company’s Axon 2.0 engine capitalizes on AI to optimize ad bidding and placements in real time, with promising expansion plans into broader web advertising markets.

UBS analysts noted rising demand from web-based advertisers, which could lead to rapid growth for AppLovin as the company releases a self-serve ad manager to attract more clients. Although both SoundHound and AppLovin face speculative challenges, their innovative approaches to AI position them as key players in the industry.

As demonstrated by the recent performance of these companies, significant opportunities exist for investors looking for promising stocks in the rapidly evolving tech landscape.