Is LivePerson profitable in 2026?

No. LivePerson posted a FY2025 net loss of $67.2M ($12.39/share), including a $46.1M Q4 2025 loss alone. Q1 2026 EPS was still negative at -$0.73, and FY2026 revenue guidance of $195M-$207M implies continued decline, per its March 12, 2026 earnings release.

Is LivePerson being acquired?

Yes. SoundHound AI announced a definitive all-stock merger agreement to acquire LivePerson on April 21, 2026, later amended July 2, 2026, allocating $231.7M to settle LivePerson's secured notes and $31.6M to shareholders. Shareholder vote and close are targeted for late 2026.

Could AI replace LivePerson's business?

Its core workflow-hosting and professional-services layer is already being commoditized: Q4 2025 hosted-services revenue fell 15% YoY and professional-services fell 36% YoY, per LivePerson's own March 12, 2026 results, as LLM-native platforms and Salesforce Agentforce absorb that layer.

Who is LivePerson's biggest competitor?

Salesforce, via Agentforce, entered Gartner's Conversational AI Magic Quadrant as a Leader for the first time in 2026 while LivePerson was dropped from the same MQ entirely, per a July 15, 2026 CX Today report. Salesforce also agreed in June 2026 to acquire Intercom/Fin for $3.6B.

What is LivePerson's stock price and market cap now?

As of mid-July 2026, LivePerson's market cap was roughly $20-22 million, with shares trading around $1.63-$1.77, close to its all-time low of $1.50, according to gurufocus.com data dated July 20, 2026.

Will the SoundHound-LivePerson merger close?

It is pending LivePerson shareholder approval, with an outside date of October 21, 2026, extendable to December 5, 2026, per a July 8, 2026 Voiceflow report. If it fails, LivePerson faces standalone survival with $231.7M in secured debt and an accelerating revenue decline.

AI companies and labs · acquisition pending · United States

LivePerson

liveperson.com ↗

LivePerson sells conversational AI and chat software for enterprise customer service.

Little protection left

Assessed 21 July 2026 · Evidence as of 21 July 2026

Not much stands between this business and its pressures.

On the recordSince 21 July 2026 · Checkable from August-October 2026 · Every call on the record Checkpoint: Q2 2026 earnings and LivePerson shareholder vote on the SoundHound merger

The call

LivePerson is being sold to SoundHound mostly to settle $231.7M in debt, with shareholders getting $31.6M while AI-native rivals and Salesforce take the business it used to run.

LivePerson builds software that lets companies run customer service conversations through one place, mixing AI agents with human workers. It is not hard to copy or replace because Salesforce (which is already a customer) built its own version called Agentforce and bought Intercom, and Google supplies the AI that LivePerson uses while also selling competing products. The company's revenue has fallen from $402 million three years ago to around $244 million today, with professional services down 36% and hosted services down 15% in the last year, which is why it is now worth less than $25 million on the stock market even though it owes $232 million in debt. The one thing that could change the picture is if LivePerson signs new long-term customer deals that actually grow revenue instead of shrink it, but the company's next earnings report in early August 2026 will likely show whether that is even possible before the debt holders take control.

Why

AI pressure: Sierra, Decagon, Ada, Voiceflow, Cresta and LLM-native agent platforms. These platforms build workflow and agent layers directly on modern LLMs, replacing the professional-services work LivePerson used to sell. Could AI do the core job? Yes, likely.

Bigger players: Salesforce (Agentforce, Intercom/Fin) and Google. Salesforce entered the Gartner Leader quadrant and bought Intercom's Fin for $3.6B; Google supplies LivePerson's own AI while competing against it. Could a giant copy it? Yes, easily.

What protects it. None apparent: no technology lock-in, no pricing power, and the company is being absorbed for its debt load, not its product.

What would change this call

Q2 2026 earnings (~early August 2026) show whether net-new ARR turns positive. Tests if the customer-loss trend is stabilizing or continuing to worsen.
Shareholder vote and SoundHound merger close by October 21 or December 5, 2026 deadline. Shows whether LivePerson survives as standalone company or is absorbed.
Further hosted-services or professional-services revenue decline reported in coming quarters. Indicates continued displacement by LLM-native and hyperscaler competitors.

Key numbers

Revenue fell from $402M to $244M in three years (FY2025)
Net revenue retention 78%, down from 80% prior quarter (Q4 2025)
Headcount down 54% from 1,344 to 615 (Dec 2025)

Named risks

SoundHound merger could break before October 21, 2026 outside date, leaving standalone debt burden. Severity: high
Sub-80% net revenue retention shows ongoing customer cancellations and downsells. Severity: high
$231.7M secured note claim ranks ahead of equity holders in merger consideration. Severity: high
Removal from Gartner Magic Quadrant 2026 signals loss of analyst-driven enterprise credibility. Severity: medium
Headcount fell 33.7% year over year through 2025, indicating continued instability. Severity: medium

Rivals, as read in July 2026

Rival	Direction	Evidence
Salesforce	losing to	Entered Gartner MQ as Leader via Agentforce and bought Intercom/Fin for $3.6B, June 2026
Google	contesting	Simultaneously LivePerson's default Gemini LLM supplier and a top-quadrant rival, per July 2026 Gartner MQ
Sierra, Decagon, Ada, Voiceflow, Cresta	losing to	LLM-native agent platforms cited as displacing LivePerson's workflow-hosting layer, 2026
SoundHound AI	losing to	Announced acquisition of LivePerson April 21, 2026, at distressed valuation

Questions people ask

Is LivePerson profitable in 2026?: No. LivePerson posted a FY2025 net loss of $67.2M ($12.39/share), including a $46.1M Q4 2025 loss alone. Q1 2026 EPS was still negative at -$0.73, and FY2026 revenue guidance of $195M-$207M implies continued decline, per its March 12, 2026 earnings release.
Is LivePerson being acquired?: Yes. SoundHound AI announced a definitive all-stock merger agreement to acquire LivePerson on April 21, 2026, later amended July 2, 2026, allocating $231.7M to settle LivePerson's secured notes and $31.6M to shareholders. Shareholder vote and close are targeted for late 2026.
Could AI replace LivePerson's business?: Its core workflow-hosting and professional-services layer is already being commoditized: Q4 2025 hosted-services revenue fell 15% YoY and professional-services fell 36% YoY, per LivePerson's own March 12, 2026 results, as LLM-native platforms and Salesforce Agentforce absorb that layer.
Who is LivePerson's biggest competitor?: Salesforce, via Agentforce, entered Gartner's Conversational AI Magic Quadrant as a Leader for the first time in 2026 while LivePerson was dropped from the same MQ entirely, per a July 15, 2026 CX Today report. Salesforce also agreed in June 2026 to acquire Intercom/Fin for $3.6B.
What is LivePerson's stock price and market cap now?: As of mid-July 2026, LivePerson's market cap was roughly $20-22 million, with shares trading around $1.63-$1.77, close to its all-time low of $1.50, according to gurufocus.com data dated July 20, 2026.
Will the SoundHound-LivePerson merger close?: It is pending LivePerson shareholder approval, with an outside date of October 21, 2026, extendable to December 5, 2026, per a July 8, 2026 Voiceflow report. If it fails, LivePerson faces standalone survival with $231.7M in secured debt and an accelerating revenue decline.

Timeline

2026-07-15LivePerson dropped from Gartner Magic Quadrant for Conversational AI; Salesforce enters as Leader
2026-07-02SoundHound merger amended: $231.7M to secured notes, $31.6M to LivePerson shareholders
2026-04-21SoundHound AI announces definitive agreement to acquire LivePerson in all-stock merger
2026-03-17LivePerson issues FY2026 guidance of $195M-$207M revenue; launches Syntrix platform
2026-03-12Q4 2025 results: revenue $59.3M (-19% YoY), net loss $46.1M, NRR 78%
2026-02-27LivePerson named a Leader in Aragon Research Globe for Agent Platforms 2026
2025-08LivePerson raises $115M in post-IPO debt financing
2024-05LivePerson raises $100M in post-IPO debt financing

Revision history

21 July 2026

First assessed. Little protection left. The text above is fixed as of this date and is not edited afterwards.

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