Freshworks states that AI is handling everyday office tasks, allowing employees to concentrate on more complex responsibilities.

Freshworks is increasingly targeting large enterprises and mid-market companies as it enhances AI integration across its offerings, stated CEO Dennis Woodside during the World Economic Forum Annual Meeting in Davos on January 22, 2026.

Woodside noted that the nature of work is evolving quickly for Freshworks’ 75,000 clients, with AI empowering customer support and IT teams to operate more swiftly and efficiently. He emphasized that the ease of use and quicker time-to-value remain crucial differentiators for the company in a competitive enterprise software landscape.

Currently, the company has over 6,000 clients utilizing paid AI features. In November, Freshworks introduced an agentic suite featuring prebuilt AI agents customized for four distinct industries. Woodside reported strong adoption, with clients managing to deflect 50-60% of incoming inquiries through AI. Furthermore, he mentioned that AI-driven interactions provide greater customer satisfaction compared to human-only support, allowing employees to concentrate on more complex, high-value tasks. Some clients have even transformed AI agents into revenue-generating sales instruments.
Internally, Freshworks has implemented more than 70 AI tools, both proprietary and from third-party sources. AI is leveraged across customer support, employee inquiries, and recruitment, assisting in screening nearly 10,000 resumes received weekly. Woodside stated that this extensive implementation of AI has led to enhanced profitability and quicker revenue growth.

Freshworks is also leaning further towards larger enterprises, with mid-market and enterprise clients—defined as firms with 500 to 20,000 employees—now representing about 50% of total revenue. The company includes prominent clients like Tata Consumer, Mahindra & Mahindra, and New Balance.

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Woodside announced that Freshworks generated $20 million in direct AI-related revenue in Q3, from a business model developed primarily over the last 18 months, aiming to escalate this to $100 million in the next three years. Overall, the company is striving to reach $1.3 billion in revenue during the same timeframe, while continuing to enhance cash flow margins, which were approximately 26% in the latest quarter.