Arlo Technologies Inc. Hits Major Milestones in Smart Home Security
Arlo Technologies, Inc. (NYSE: ARLO), a leading smart home security brand, has recently announced significant achievements in its subscription service, marking a pivotal moment in its growth trajectory. On May 8, 2025, the company revealed that its AI-powered subscription service has surpassed five million paid subscribers, generating over $275 million in Annual Recurring Revenue (ARR). This milestone underscores Arlo’s rapid expansion in the consumer Software as a Service (SaaS) space, with its subscriber base growing more than ten-fold over the past five years.
The company’s success is attributed to its relentless focus on innovation and operational excellence. Arlo’s AI platform, known as Arlo Intelligence, plays a crucial role in this achievement by offering advanced security features such as video, audio, and environmental event processing. These capabilities enhance threat detection and provide users with deeper insights and more meaningful context into events captured by Arlo devices.
In addition to hitting the subscription milestone, Arlo Technologies has also announced the launch of Arlo Secure 6, the next generation of its home security subscription service. This new offering introduces several AI-powered innovations, including fire detection, advanced audio detection, detailed video event descriptions, and powerful video search capabilities. These features empower subscribers to make better-informed decisions to protect their homes and loved ones.
Arlo’s impressive customer retention metrics further highlight its success. Users of Arlo’s services stay an average of seven years, and the company maintains one of the lowest monthly churn rates among consumer subscription peers. This strong customer loyalty is a testament to the outstanding user experience and service provided by Arlo.
Despite these achievements, Arlo Technologies faces challenges, as reflected in its financial fundamentals. The company’s stock closed at $10.34 on May 5, 2025, with a 52-week high of $17.64 and a low of $7.84. The market capitalization stands at $1.05 billion, and the price-to-earnings ratio is currently negative at -32.43, indicating potential investor concerns about profitability.
As Arlo Technologies continues to push the boundaries of home security with its innovative solutions, it remains a key player in the Information Technology sector, particularly within the electronic equipment, instruments, and components industry. The company’s recent achievements and strategic advancements position it well for continued growth and success in the evolving smart home security market.