Agrippa Investments

Agrippa Investments

Key Terms

ARR

Explanation & Breakdown

Jul 20, 2025
∙ Paid

Short Description

ARR (Annual Recurring Revenue) measures the value of a company’s contracted, recurring revenue over a 12-month period. While commonly associated with software subscriptions, the metric is increasingly used across industries like AI/HPC and colocation — anywhere recurring contracts with predictable billing cycles exist. ARR excludes one-time payments and usage-based fees, focusing purely on the stable revenue base a company can count on annually.


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