Arlo Achieves 5 Million Paid Subscribers, Surpasses $275M Annual Recurring Revenue

Arlo Technologies has surpassed 5 million paid subscription accounts and achieved $275 million in Annual Recurring Revenue. The company's AI-powered subscription service has grown tenfold over the last five years, with an average customer retention rate of 7 years and a low monthly churn rate. Arlo's success is driven by its scaled, secure, and sophisticated platform with advanced AI capabilities, including Arlo Intelligence, which provides real-time alerts and system triggers for smart security experiences.

San Jose, Calif. — July 2, 2025 — Arlo Technologies, Inc. (NYSE: ARLO) has announced a significant milestone in its smart home security offerings. The company has surpassed 5 million paid subscription accounts, achieving $275 million in Annual Recurring Revenue (ARR) [1]. This growth, driven by relentless innovation and exceptional customer retention, underscores Arlo's position as a market leader in smart security.

Over the past five years, Arlo's AI-powered subscription service has grown tenfold, with an average customer retention rate of over 7 years and a low monthly churn rate. The company's success is attributed to its robust, secure, and sophisticated platform, featuring advanced AI capabilities, including Arlo Intelligence. This high-performance smart security AI engine provides real-time alerts and system triggers, enhancing user experiences and response times to potential emergencies [1].

The company's latest financial results for the second quarter of 2025 reflect this growth. Arlo reported ARR of $316 million, a 34% year-over-year increase, and subscriptions and services revenue of $78 million, growing 30% year-over-year [2]. The company also achieved record gross margins and net income per share, demonstrating strong financial performance.

Matthew McRae, CEO of Arlo Technologies, stated, "Arlo has achieved world-class metrics for any type of subscription service business, furthering our position as the market leader in smart security. Our unparalleled subscription growth and impressive customer retention rate are a testament to the power of our service business and the advanced AI capabilities helping us win and retain subscribers. It is extremely rare for a consumer SaaS company to achieve the level of ARR growth Arlo has in this short of time, and we have no intention of slowing down."

Arlo's commitment to innovation and customer satisfaction is evident in its recent product launches and strategic partnerships. The company's mission to bring users peace of mind through advanced home, business, and personal security solutions continues to drive its success.

References:
[1] https://www.arlo.com/en-us/arlo-exceeds-5-million-paid-subscription-accounts-surpasses-275m-annual-recurring-revenue.html
[2] https://www.businesswire.com/news/home/20250807398903/en/Arlo-Reports-Second-Quarter-2025-Results