The CRM software market is showing clear momentum in mid-2026, with two of its biggest players – Salesforce and HubSpot – making headlines for very different reasons. Salesforce has secured a significant government contract with the US Air Force, while HubSpot has emerged as the standout performer in Q1 sales software earnings. Together, these developments paint a picture of a market that continues to grow in scope, scale, and strategic importance for businesses of all sizes.

Salesforce Wins US Air Force Contract – and Analyst Confidence

On July 8, Salesforce announced that the US Air Force 441st Vehicle Squadron had selected its platform for a new deployment. The deal adds to a growing list of public sector wins for Salesforce and reinforces its position as a trusted platform for large, complex organisations with demanding compliance and operational requirements.

Analysts have taken note. Multiple firms have continued to rate Salesforce as one of the best large-cap stocks to buy, citing its durable revenue base, expanding AI capabilities, and strong enterprise relationships. For RevOps and GTM leaders, the government contract signals something important: Salesforce is not just competing in commercial markets. It is actively expanding into highly regulated verticals where long-term contracts and deep platform integration drive retention.

For enterprise buyers evaluating vendors, this kind of public sector credibility can matter. Government deployments require rigorous security standards, data governance, and uptime commitments – criteria that often mirror what large private sector organisations need as well.

Salesforce now serves organisations ranging from global financial institutions to the US military, underscoring the breadth of its platform applicability in 2026.

Investors watching Annual Recurring Revenue (ARR) growth will also find reasons for optimism. Salesforce’s ability to land large institutional contracts supports the kind of predictable, long-cycle revenue that keeps its financial profile attractive – even in a market where software spending scrutiny remains high.

HubSpot Leads Q1 Sales Software Earnings

HubSpot came out on top in a review of Q1 earnings across the sales software category, continuing a run of strong financial results that have made it a closely watched name in both CRM and broader go-to-market strategy conversations.

The company’s performance reflects its success in capturing mid-market and growth-stage companies that need a unified platform for marketing, sales, and customer service. HubSpot has leaned heavily into a product-led growth model, where free and low-cost tiers drive user adoption before converting teams into paid plans. That approach has proven effective at reducing Customer Acquisition Cost (CAC) while building a large installed base that expands over time.

At the same time, HubSpot has filed a US$419.773 million shelf registration for 2,300,000 common shares through an Employee Stock Ownership Plan (ESOP). Some market observers initially flagged the filing as a potential concern, but analysts have largely characterised it as a routine mechanism for employee compensation – not a sign of financial stress. For CRM buyers, the filing has little direct relevance, though it does highlight HubSpot’s continued investment in retaining talent as competition for product and engineering resources intensifies across the software industry.

HubSpot’s Q1 results led the sales software category, driven by strong platform adoption across mid-market accounts and continued expansion of its customer base.

What This Means for CRM Buyers and GTM Teams

For professionals building or refining their CRM stack, the diverging strengths of Salesforce and HubSpot offer a useful frame for decision-making. Salesforce continues to deepen its hold on the enterprise and public sector, where complex sales cycles, multi-stakeholder deals, and deep customisation needs favour a platform with a long track record and broad partner ecosystem.

HubSpot, by contrast, is the platform of choice for organisations that want fast time-to-value, a cleaner user experience, and tightly integrated marketing and sales tooling without the overhead of a large implementation project. Its Q1 performance suggests that demand for this kind of accessible, scalable CRM remains strong – particularly among companies that are scaling their sales pipeline and need tools that grow with them.

There is also a lesson here for teams thinking about Net Revenue Retention (NRR). Both Salesforce and HubSpot have built business models that depend heavily on expanding revenue within existing accounts – not just acquiring new ones. Buyers evaluating either platform should consider not just the initial contract cost, but how the vendor’s pricing model behaves as usage grows and more seats or features are added.

Enterprise buyers should examine Salesforce’s expanding public sector footprint as a signal of platform maturity and compliance readiness.
Mid-market and growth-stage teams should note HubSpot’s continued earnings strength and its track record with product-led acquisition models.
All CRM buyers should model total cost of ownership carefully – including expansion pricing – before committing to a multi-year contract with either vendor.
RevOps leaders should use these signals to benchmark their own platform decisions against where the market is clearly heading: AI-augmented, deeply integrated, and retention-focused.

Looking Ahead

The CRM market in 2026 is not a story of winners and losers between platforms – it is a story of differentiation. Salesforce and HubSpot are both growing, both investing in AI, and both winning business in their respective sweet spots. What matters for buyers is clarity about their own needs: company size, deal complexity, integration requirements, and the internal resources available to manage and optimise a CRM deployment over time.

For teams still evaluating their options, our CRM Tools Directory provides detailed comparisons across the leading platforms on the market today. You can also explore our CRM Guides for practical advice on implementation, migration, and getting the most from your existing stack.

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Salesforce and HubSpot Signal Strength Across CRM Market

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