PTC (PTC) Morgan Stanley Technology, Media & Telecom Conference summary

Company overview and core focus

• Celebrated 35 years as a public company and nearly 40 years in existence, specializing in software for design, manufacturing, and service of critical products.

• Core offerings include CAD, PLM, ALM (Codebeamer), and SLM (ServiceMax), serving five main verticals: Industrial Manufacturing, MedTech, Federal, Aerospace & Defense, Automotive, and Electronics & High-Tech.

• Emphasizes digital transformation for customers facing increasing complexity and volatility in their markets.

• Products enable customers to accelerate product development and improve operational efficiency.

• Recent innovations include generative AI solutions integrated into ServiceMax, Codebeamer, and Windchill.

Market environment and customer challenges

• Customers face sluggish sales, supply chain volatility, workforce changes, and geopolitical pressures.

• Generative AI is driving urgency for digital transformation and modernization of tech stacks.

• Customers seek to leverage structured data models for effective AI deployment and business outcomes.

• Real-time data sharing between PLM and manufacturing/service operations is a key value proposition.

• Competitive pressures, especially from faster-moving international players, are accelerating demand for digital tools.

Product and technology strategy

• Focused on integrating AI into core products to deliver practical value, such as automating test case generation and improving traceability.

• Launched PLM WorkView Instructions for real-time manufacturing floor updates.

• ServiceMax and Codebeamer are being cross-sold into the PLM customer base, with ongoing product integration.

• Codebeamer’s regulatory and traceability strengths are expanding its reach beyond Automotive into MedTech, Federal, Aerospace, and Defense.

• SaaS adoption is growing, with Windchill+ deployments increasing and a long-term shift expected from on-premise to SaaS.