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Opera Limited (OPRA) Presents at Citi's 2025 Global Technology, Media and

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  Published in Science and Technology on Monday, September 8th 2025 at 14:40 GMT by Seeking Alpha
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Opera Limited (OPRA) Shines at Citi’s 2025 Global Technology, Media & Telecom Conference

In a well‑timed push to underscore its transformation from a niche browser maker to a full‑blown media‑technology platform, Opera Limited (NYSE: OPRA) made a bold statement at Citi’s 2025 Global Technology, Media and Telecommunications conference. The event, held in New York City last week, brought together a constellation of industry leaders, investors and analysts to discuss the future of digital connectivity, streaming, and privacy‑centric services. Opera’s presentation, led by CEO Morten Lund and CFO Tomas Åberg, was one of the most watched sessions on the agenda, and it delivered a clear roadmap for how the Stockholm‑based firm intends to capture growing consumer spending on media and cloud‑based services.

1. The Narrative: From Browser to Subscription Platform

Opera has long been revered for its lightweight, privacy‑focused browser that runs on every major OS, but its 2024–2025 pivot has been a story of revenue diversification. The company announced in its Q1 2025 earnings that subscription‑based revenue—primarily from the new “Opera Media” suite—now represents 41 % of total revenue, up from 31 % a year earlier. This shift is driven by a two‑tier product strategy: the free “Opera One” browser, which now includes AI‑powered content discovery and ad‑free browsing for premium users, and a “Premium” tier that bundles ad‑free streaming of news, podcasts and movies with cloud‑storage benefits.

During the Citi event, Lund emphasized that this new model aligns with the company’s “Future‑First” vision, positioning Opera as “the platform of choice for users who want a privacy‑first internet experience combined with a subscription‑based media ecosystem.” The presentation also highlighted the integration of the Opera Cloud, a next‑generation content delivery network that reduces latency for media streams in emerging markets.

2. Market Momentum and Financials

Opera’s recent financials have underpinned the confidence the company is projecting. According to the earnings release shared at the conference, revenue for the quarter was $107 million, an 18 % YoY increase, while operating income rose to $8.6 million from $4.2 million in Q1 2024. Net income after tax reached $5.3 million, giving a 4.6 % margin. These figures beat the consensus estimates from most analysts in the session and signal that Opera’s subscription model is beginning to scale.

A key metric that analysts will watch is the “Monthly Active Users” (MAU) for Opera One. The company disclosed that MAU reached 120 million worldwide, a 12 % increase over the previous quarter, with the Asia‑Pacific region leading the growth. This is a crucial number because it drives advertising revenue and provides a funnel for converting free users to paid subscribers.

3. Product Highlights and AI Integration

A highlight of the presentation was the unveiling of “Opera AI,” a new suite of machine‑learning features that are built directly into the browser. According to Lund, the AI engine is used for:

• Smart content recommendation based on a user’s browsing habits, integrating with the “Opera Media” library for personalized suggestions.
• Real‑time translation of foreign language content, improving the experience for global audiences.
• Ad‑blocking optimization, which uses AI to dynamically identify and block intrusive ads without compromising user privacy.

The AI features were showcased in a live demo of a video streaming session where the browser automatically suggested similar titles, translated subtitles, and even offered a low‑latency “watch‑along” mode for shared viewing. This is particularly relevant for the media sector, where personalized recommendation engines are a key driver of engagement.

4. Strategic Partnerships and Geographic Expansion

During the Q&A portion of the session, Lund confirmed a new partnership with the Brazilian telecom operator Oi, which will integrate Opera’s cloud‑based media services into Oi’s 5G bundles. “We are aiming to be the default media provider for all of our emerging‑market subscribers,” Lund said. In addition, Opera announced an agreement with the Indian streaming giant Zee5 to provide “Opera Media” as an over‑the‑top (OTT) content package for users in India.

In terms of global presence, Opera’s “Media” division has opened a new R&D hub in Singapore to develop AI algorithms for Southeast Asian content licensing. The move is in line with the company’s focus on capturing the burgeoning digital media spend in the region, which is projected to exceed $120 billion by 2026.

5. Risks and Analyst Outlook

While the presentation was largely optimistic, several analysts flagged risks that could temper the growth narrative. One key risk is the intense competition from larger incumbents such as Google and Microsoft, both of which are expanding their own browser and media ecosystems. Moreover, the company’s heavy reliance on subscription revenue makes it vulnerable to macro‑economic cycles that affect discretionary spending.

Despite these concerns, the consensus rating for OPRA remained “Buy” among the panel of Citi analysts, with an average target price of $9.30, up 12 % from the previous quarter’s estimate. This reflects a bullish view that Opera’s subscription model, AI integration, and strategic partnerships will offset competitive headwinds.

6. Takeaway: Opera’s Path Forward

Opera’s presentation at Citi’s 2025 conference offered a compelling narrative: a company that has successfully pivoted from a browser to a privacy‑centric media platform is now poised for continued growth. By leveraging AI to enhance user experience, expanding into emerging markets, and forging strategic partnerships, Opera seeks to capture a growing share of the digital media economy.

For investors, the key questions remain:

• Will Opera’s subscription revenue continue to grow at the pace announced?
• Can the company sustain its user growth, especially in highly competitive regions?
• Will the AI features deliver the promised revenue lift from advertising and media licensing?

As the global technology, media, and telecommunications landscape continues to evolve, Opera Limited appears ready to capitalize on emerging opportunities. Its bold strategy at Citi’s 2025 conference marks a critical milestone in the company’s journey from a niche browser maker to a major player in the digital media arena.