Stephens notes that Salesforce (CRM) announced new prices for several products and thinks the upshot is that prices are rising as value-added AI features are bundled into products. When combined with May’s Flex Credit rollout, the firm thinks the pricing changes are an effort to drive both trial/usage and monetization and sees the pricing change highlighting a debate among investors about whether to price AI for usage/adoption or price for monetization. The firm, which adds that it thinks Salesforce is “doing a bit of both,” maintains an Equal Weight rating and $309 price target on the shares.
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