US enterprise AI firm C3 said to eye sale
- ByStartupStory | November 11, 2025
Enterprise AI software provider C3 AI is exploring a potential sale following the recent resignation of its founder and longtime CEO Thomas Siebel due to health issues. The company, based in Redwood City, California, offers AI platforms used by clients including Shell and the U.S. Air Force. The sale consideration is in early stages with other options such as private investment also being evaluated.
C3 AI has faced financial challenges with its stock down over 54% in 2025 amid declining revenue and losses, which led it to withdraw its full-year financial forecast. The firm reported a 19% revenue drop to $70.3 million and a net loss of $116.8 million in the fiscal first quarter ending July 31. Stephen Ehikian, a veteran executive from Salesforce and Siebel Systems, took over as CEO in September aiming to steer the company back to growth.
The uncertainty around leadership changes and financial performance has weighed on C3 AI’s valuation, currently about $2.15 billion. However, investors remain watchful ahead of the company’s next financial results due December 3.
C3 AI competes in the AI software space with players like Palantir Technologies, serving government and industrial sectors with large-scale AI application platforms. The outcome of the sale exploration or alternate strategies will be closely monitored by market participants as the company navigates this transitional period.
Follow Startup Story
Related Posts
