Cerence makes AI-powered voice assistants embedded in cars, enabling drivers to interact naturally with in-car systems — navigation, climate controls, calls, and real-time information — using conversational voice commands. Its software combines an edge-embedded component that runs locally on the vehicle's hardware with a cloud-connected component for real-time data, allowing the system to function with or without a network connection. Cerence's flagship next-generation platform, Cerence xUI, adds agentic AI capabilities that can orchestrate across multiple tasks and vehicle domains, powered by Cerence's proprietary family of large and small language models called CaLLM. Cerence sells on a white-label basis to virtually all major global OEMs — including BMW, Mercedes-Benz, Volkswagen Group, Toyota, Ford, GM, and BYD — as well as tier-1 suppliers like Bosch, HARMAN, and Continental, with each group accounting for roughly half of revenue. Cerence earns revenue through three main lines: a per-unit embedded license fee recognized when a vehicle ships, a connected services subscription fee recognized ratably over roughly three years, and project-based professional services revenue that is intentionally shrinking as Cerence standardizes its platform. Revenue scales with auto production volumes and the average price per unit, which Cerence is growing by increasing connected subscription take rates and shifting OEMs to higher-value AI-enabled products. Cerence also licenses its foundational voice and speech patents to companies outside automotive, including a recent settlement with Samsung and active suits against Apple, Sony, and TCL. Beyond automotive, Cerence is expanding into voice-powered kiosks, automotive dealership call center agents, and consumer electronics.