monday.com reported first-quarter 2026 revenue of $351.3 million on May 11, up 24% year over year. The company also introduced its AI Work Platform with native AI agents and a new seats-plus-credits pricing model.

For subscription operators, the pricing model is the key development. monday.com is not replacing seat-based pricing. Instead, it is adding AI credits on top of seats.

According to monday.com’s support documentation, seats cover the people using the platform. AI credits cover supported AI usage. The model applies to customers who joined the monday AI Work Platform starting May 6, 2026. Existing customers may choose to move to the model by contacting support or their account team.

The credits apply across monday.com’s broader AI portfolio, not only agents. The company lists AI Notetaker, AI blocks, monday sidekick, monday agents, monday vibe and AI workflows as supported capabilities.

Credit use varies by feature. For monday agents, consumption can vary based on task complexity, depth and the selected AI model. monday.com’s documentation says credit consumption for monday sidekick starts May 20, 2026, while credit consumption for monday agents starts June 8, 2026.

The pricing update came as monday.com reported stronger performance among larger customers. Net dollar retention was 110% overall, 116% for customers with more than $50,000 in annual recurring revenue and 115% for customers with more than $100,000 in annual recurring revenue.

Customers with more than $500,000 in annual recurring revenue reached 99, up 74% from 57 a year earlier. Total remaining performance obligations were $880 million, up 33% year over year, while current remaining performance obligations were $716 million, up 26%.

monday.com has not disclosed how much revenue is currently tied to AI credits. That means the credit model should be viewed as an important pricing direction, not yet as a disclosed revenue driver.

INSIDER TAKE

monday.com’s Q1 results matter beyond monday.com. They show a pricing question that many SaaS and B2B subscription companies will need to answer: what happens when value is no longer tied only to the number of human users?

Seat-based pricing is familiar. It is easy to understand because companies pay based on how many people use the software. But AI changes the equation. If AI agents and workflows can do work across teams, the number of seats may not fully reflect the value being created.

That is why a seats-plus-credits model is worth watching. It keeps the familiar seat-based structure while adding a way to measure and package AI usage. For enterprise customers, that may be easier to understand than a full move to usage-based pricing.

But the model also creates new operating questions. Customers will need to know what uses credits, how quickly credits are consumed, who controls AI usage and what happens when limits are reached. If those rules are not clear, AI credits can create budgeting concerns and procurement friction.

For subscription operators, the lesson is simple: AI pricing is not just a product decision. It affects packaging, customer education, admin controls, finance approval, renewals and expansion strategy.

monday.com’s move does not prove that seats-plus-credits will become the dominant AI pricing model. But it does show one practical path for companies that want to monetize AI without walking away from seat-based subscriptions.