Yelp Leans into AI with Ambitious Growth Plans

At the Goldman Sachs Communacopia + Technology Conference 2026, Yelp outlined its shift towards artificial intelligence as it refreshes its core platform and builds new businesses. The company is now focusing on AI to drive growth, with executives citing a unique data asset that sets it apart from others in local search and commerce.

The move marks a significant change for the company, which has gone through several major shifts since its inception over 20 years ago. Yelp's CEO Jeremy Stoppelman emphasized the importance of adapting to new technologies, comparing the company's AI push to its earlier transitions to Google and mobile era.

Yelp Assistant, a chat interface, is one example of how the company is incorporating AI into its product development. The platform integrates with ChatGPT local search results and allows users to access Yelp business listings and reviews in a conversational way.

The Request a Quote feature is another key area of focus for Yelp, which has seen subscription revenue from this service grow 98% in the second quarter. The company's AI phone receptionist, Yelp Host, also showed significant growth, with a $2.4 million run rate by July and support for 17-18 languages.

Despite these developments, Yelp faces challenges in its local advertising market, which has been affected by macro pressures such as inflation and higher labor costs. The company's other revenue stream is expected to reach $250 million annually by the end of 2028, with a current annualized figure of around $133 million.