Twilio stock soared to its highest level in 4 years. Its CEO shares how AI helped the company turn things around. (www.businessinsider.com)

Twilio's stock surged 19% following an impressive earnings report, marking its highest valuation in four years. Under the leadership of CEO Khozema Shipchandler, who took over amid pressure from activist investors for cost-cutting measures, the company has shifted its focus toward integrating AI and data into its offerings. This pivot has revitalized Twilio, as evidenced by a 20% year-over-year revenue growth, the fastest pace in three years, and a notable achievement of first full-year GAAP profitability with nearly $1 billion in free cash flow. The strategic decision to retain Segment, a customer data platform previously considered for sale, has proven pivotal. Shipchandler credits Segment with enhancing Twilio's ability to incorporate data into AI models, greatly improving customer engagement. With projections suggesting Twilio could underpin 80-100 million AI agents by 2029, the company sees this technological integration as fundamental to its future. Internally, AI tools have facilitated a 15% productivity increase, positioning Twilio as a resilient player in the SaaS market amid broader industry concerns.