Zoom cuts revenue forecast on slow online business

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After recording blistering growth during the pandemic, Zoom, which competes with WeChat Work, Microsoft Teams, Cisco WebEx and Slack, is facing a slowdown as rising inflation is dampening the spending power of customers.

Zoom chief financial officer Kelly Steckelberg said during a post-earnings call that the company's online business would decline nearly 8% during the year.

The easing of pandemic-related restrictions across the world is also weighing on its business as people started spending less time online. Zoom now expects annual revenue to be between $4.37 billion and $4.38 billion, compared with an earlier outlook of $4.39 billion and $4.40 billion.

 

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