Pegasystems Partners with AWS & Bets Big on GenAI—Is This the Next Tech Breakout?

Pegasystems reported its second-quarter 2025 financial performance, showing several positives and some challenges. The company has illustrated a promising trajectory with the implementation of its AI strategy and its effects on both revenue and customer engagement. A key highlight is the company’s annual contract value (ACV) growth, which increased by 16% year-over-year as reported and 14% in constant currency. This reflects a significant acceleration in business owing to strategic wins, particularly driven by the Pega GenAI Blueprint initiative. The total ACV surpassed $1.5 billion for the first time, propelled by the robust 28% growth (25% in constant currency) in Pega Cloud ACV. This growth shows Pegasystems’ successful expansion in key verticals and the growing appeal of its AI-driven solutions.