PagerDuty's Q3: Seat-Based Licenses Down, Usage-Based Ups

PagerDutys Q3 2025 results sparked market turmoil due to customer retention issues and reduced seat-based licenses, particularly among large clients undergoing reorganizations. Despite increased usage-based product adoption and operational efficiency, revenue loss from seat license reductions persisted. Analysts questioned the impact of usage-based pricing and the trend of seat reductions. PagerDuty plans to stabilize seat-based licenses, explore revenue growth through multi-year agreements, and expand operating margin via efficiency and product mix changes.The Daily News Now! — Every city. Every story. AI-powered. Hosted on Acast. See acast.com/privacy for more information.