Zoom Video Communications, Inc. (ZM Quick QuoteZM - Free Report) recently launched its Compliance Manager solution that helps organizations meet regulatory requirements and manage risks related to their communications on ZM’s platform.

This new offering includes features like archiving, eDiscovery, legal hold and information protection capabilities to address the growing need for robust compliance solutions in today's regulatory environment.

Organizations are facing stricter regulations and compliance risks both internally and externally, which can lead to fines and legal issues, and damage their reputation. The Compliance Manager solution, powered by Theta Lake, aims to provide organizations with confidence in using Zoom while meeting regulatory requirements.

Other key features of ZM’s Compliance Manager include risk detection and data loss prevention.
The solution is available as an add-on for the company’s customers with a paid plan and provides compliance capabilities across various Zoom products, including Meetings, Team Chat, Phone, Whiteboard, Rooms, Webinars, Events and Contact Center.

It is expected to boost customers contributing more than $100,000 as well as enterprise customers. The Zacks Consensus Estimate for ZM’s 2024 customers contributing more than $100,000 is pegged at 4,294, indicating a year-over-year decline of 12.7%. The Zacks Consensus Estimate for 2024 enterprise customers is pegged at 228,310, indicating year-over-year growth of 3.6%.

ZM’s AI Companion to Aid Workplace Assistance

The company’s recently launched AI-powered assistant called AI Companion helps users collaborate better on its platform. This assistant provides useful information, automates tasks and keeps users updated. It uses ZM's special approach to AI, combining its own AI model with others to give top-quality results. The AI Companion solution is available to all users on the Zoom platform at no extra cost, making AI accessible to everyone in an organization.

AI Companion works across various parts of the Zoom platform, such as Meetings, Team Chat, Notes, Docs, Whiteboard, Mail, Calendar and Clips. It helps users save time and work more efficiently by handling repetitive tasks. It can automatically summarize meetings, discreetly ask questions during a meeting, provide quick recaps of missed meetings, draft messages based on chat conversations, summarize long chat threads, assist with brainstorming on digital whiteboards and suggest email drafts based on content.

Shares of this Zacks Rank #2 (Buy) company have lost 7% year to date against the Zacks Computer and Technology sector’s growth of 10.3% due to the tough competition from Microsoft (MSFT Quick QuoteMSFT - Free Report) , Alphabet (GOOGL Quick QuoteGOOGL - Free Report) and Salesforce (CRM Quick QuoteCRM - Free Report) in the cloud communications market.  You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Microsoft Teams is a tool that allows people to chat, have video meetings, store files and use various apps. It competes strongly with Zoom and works closely with Microsoft 365. It is also included in MSFT's Enterprise Agreements.

In addition to contending with Microsoft Teams, Zoom faces competition from free alternatives, such as Google Meet. Leveraging GOOGL's extensive presence across various online services, Google Meet benefits from a broad distribution advantage. Users can conveniently schedule and join meetings directly from their email and calendar applications, contributing to its competitive edge against ZM.

Slack is a cloud-based platform for team communication created by Slack Technologies, which has been owned by Salesforce since 2020. It offers both free and paid subscriptions, granting users access to features like text messaging, sharing files and media, making voice and video calls, as well as engaging in group chats to facilitate team collaboration.