Five9 announced on November 5, 2026 that it had entered a definitive agreement to acquire Level AI, valuing the customer-experience AI company at approximately $325 million in cash. Five9 plans to pay from its balance sheet, and its board unanimously approved the agreement.
The transaction has not closed. Under the plan, Level AI’s applications would be sold both inside Five9’s Genius CX Platform and as standalone products for organizations using other contact-center systems.
Two Routes for Level AI Applications
Enterprises with on-premises contact centers, or those already using another cloud platform, could adopt Level AI without first buying Five9’s contact-center-as-a-service platform. The same applications would also join the AI application layer within Genius CX, giving existing Five9 customers an integrated route.
Chief Executive Amit Mathradas said the standalone option is intended for enterprises that want AI before they are ready to migrate their contact centers to the cloud. He also described the acquisition as a way to add experienced AI-native builders and more tools for research, analysis and planning, allowing human agents to concentrate on higher-value and complex customer interactions.
Latitude Models and Customer Reach
Level AI’s suite combines AI agents for voice and digital interactions, Agent Assist, quality management, Voice of the Customer, coaching and AI Workers on a shared conversation-intelligence layer. Its AI agents handle inquiries directly, Agent Assist guides human agents during live conversations, and AI Workers perform research and analysis previously handled manually by coaches and analysts.
Five9 expects the native applications to improve agent performance, automate more interactions across voice and digital channels, and convert customer conversations into insights usable across an organization. The platform runs on Level AI Latitude, a proprietary family of models built specifically for customer conversations.
Level AI reports that its platform handles more than one billion customer interactions annually for enterprises including Gusto, Chime, Empyrean and VistaPrint, and that Latitude delivers up to 49 times lower cost and four times lower latency than frontier models while giving enterprises direct control over data privacy.
The companies have partnered since 2022, with Level AI applications integrated with Five9 and available through the Five9 CX Marketplace. Five9 says the acquisition would make Level AI’s applications available to its base of more than 4,000 customers, adding an established distribution channel to the existing technical relationship.
Closing Terms and Balance-Sheet Context
Five9’s merger report filed with the SEC specifies that the consideration covers Level AI’s outstanding shares, options and warrants, subject to customary adjustments for cash, indebtedness, transaction expenses and net working capital at closing. Level AI would survive the merger as a wholly owned Five9 subsidiary.
Level AI stockholders holding sufficient voting power to approve the transaction signed support agreements. After the specified written consent is delivered, no further Level AI stockholder approval will be required. The merger agreement can be terminated if closing has not occurred by February 5, 2027, among other specified circumstances, and neither party is required to pay a termination fee.
Until closing, the companies will operate separately. Level AI says there are no immediate changes to customer contracts, invoices or support contacts and that it will provide advance notice of any change.
Five9’s third-quarter results, also dated November 5, 2026, provide the financial backdrop for the balance-sheet purchase. Revenue for the quarter ended September 30, 2026 rose 13% year over year to $323.3 million, with subscription revenue up 16%. At that date, Five9 reported $263.8 million in cash and cash equivalents and $433.8 million in marketable investments.
Five9 expects the acquisition to close in the fourth quarter of 2026, subject to customary closing conditions. Its fourth-quarter and full-year guidance excludes any contribution from the pending transaction, meaning Level AI is not yet reflected in the company’s published outlook.
The standalone route distinguishes the acquisition from a simple addition to Five9’s cloud suite: it creates a way to reach enterprises before they migrate, while the integrated route serves Five9’s existing base. Whether Five9 can extend Level AI’s reach while preserving that cross-platform continuity is the central operational question once the transaction closes.
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