The rise of Life360: Is this the future of family safety?

Life360 (ASX:360 | LIF:US) is quietly becoming a big deal. At first glance, the idea that a safety and location-sharing app could grow into a multibillion-dollar business might seem far-fetched. After all, isn't that exactly what Find My iPhone used to do for free? But dig a little deeper and you start to realise Life360 is not just another tracking app. It is building a full ecosystem around security, convenience, and peace of mind. For families, teenagers, and even drivers, it is offering something more.

Life360 is incredibly popular. As of Q4 2024, Life360 had over 79.6 million global monthly active users. The stock has risen more than 900% over the past five years. That is not a coincidence. Investors are starting to pay attention. Life360 has quietly become one of the most watchlisted stocks on CMC Invest in the past year. That is impressive for a company that still flies under the radar in terms of size and mainstream recognition.

Let’s take a closer look at the story behind it, the numbers driving the growth, and what the future could hold for Life360.

What is Life360?

Life360 is a technology company in the consumer digital services sector, best known for its mobile app that helps families stay connected and safe. Its main product, the Life360 app, offers real-time location sharing, driving behaviour insights, emergency response features, and alerts for arrivals and departures using geofencing.

The platform operates on a freemium model with tiered subscriptions, targeting families with teenagers, elderly relatives, or multiple caregivers. It serves global markets but has a particularly strong presence in the US and Australia. Life360 has expanded its offering through acquisitions like Tile (Bluetooth tracking devices) and Jiobit (wearables for kids and pets), reflecting a shift toward becoming a comprehensive connected safety platform for people, pets, and belongings.

The company is dual-listed on the Nasdaq Global Select Market (Nasdaq GS) and the Australian Securities Exchange (ASX).

^{Image: Life360 addressable markets, FY’24 Investor Presentation}

Life360 by the numbers

Life360 reported its fourth quarter and full-year 2024 results on February 28, highlighting strong momentum across user growth, revenue, and profitability. The company is increasingly positioning itself as a key player in the digital safety and location services space, with rising investor interest and a growing global footprint.

Monthly active users (MAUs) reached approximately 79.6 million, up 30% year over year. International MAU growth led the way, climbing 46% over the same period. The number of paying circles, which refers to subscription-based private groups within the app, increased to 2.3 million, reflecting a 25% year-over-year rise. This performance highlights the strength of Life360’s freemium model, which attracts a large base of free users and converts them steadily into paying subscribers. At the time of its full-year results presentation, the Life360 app was the 13th most used app by daily active users on the US App Store and ranked 4th in the Social Networking category.

Revenue for full-year 2024 reached $371.5 million, up 22% from the prior year. Subscription revenue contributed $277.8 million, rising 26% year-over-year. Hardware revenue softened slightly to $57.6 million, while other revenue streams, including advertising and partnerships, grew 41% to $36 million. Profitability improved materially, with adjusted EBITDA more than doubling to $45.5 million. Operating cash flow rose to $32.6 million, up from just $7.5 million in 2023.

Annualised Monthly Revenue stood at $367.6 million as of the fourth quarter, reflecting 34% growth year-over-year. Retention remained strong, with net subscriber retention holding close to 100% across all registration cohorts.

Penetration in key global markets is rising steadily. Life360 defines regional penetration as the estimated number of members relative to the smartphone-enabled population in each region. Between 2020 and 2024, penetration grew from 2% to 10% in the UK, from 3% to 11% in Australia, and from 6% to 14% in the US International adoption is also accelerating, although penetration remains well below domestic levels, pointing to significant upside potential.

^{Image: Life360 international penetration, FY’24 Investor Presentation}

Several factors continue to support the company’s growth trajectory. Premium offerings have expanded, with multi-tiered membership structures gaining traction in markets such as the US, UK, Canada, Australia, and New Zealand. In parallel, the company is working to monetise its large free user base through advertising, partnerships, and new services in adjacent areas like family financial tools, elderly care and auto insurance. The integration of “Tile trackers” is unlocking further product innovation and enhancing the platform’s value proposition. User engagement remains high, supported by a strong ratio of daily to monthly active users. Strategic initiatives across branding, international expansion, and product development continue to build momentum heading into FY 2025.

^{Image: Life360 expansion opportunity, FY’24 Investor Presentation}

Risks to watch

Life360 faces competition from several players, including tech giants like Apple, Snapchat, and Google, which offer built-in location tracking through their dedicated apps. This competitive pressure has historically weighed on Life360’s stock performance. Apple’s AirTag, in particular, drew negative media attention in 2022 over its potential use in stalking. Life360 CEO Chris Hull acknowledged during an earnings call that this controversy has affected the broader category. “We’re watching the privacy concerns relating to Apple AirTags and stalking risks,” Hull told investors. “The scrutiny Apple is facing in the press is moderating growth of the category overall.” Following the call, Life360’s share price fell 46%.

While Apple’s Find My and Snapchat’s location-sharing tools offer basic functionality, Life360 positions itself as a more comprehensive safety ecosystem. Its features are tailored to families and provide real-time situational awareness. However, the scale and reach of larger platforms present an ongoing challenge. Monitoring their developments and maintaining a strong competitive moat will be critical for Life360 in the future.

^{Image: Competitor pricing and feature comparison, FY’24 Investor Presentation}

In an age where physical security feels increasingly uncertain, whether the threat is real or perceived, Life360’s success makes intuitive sense. The app offers families a sense of safety and peace of mind. According to testimonials, Life360 has been credited with saving lives and preventing accidents. That kind of value proposition resonates strongly in a world shaped by heightened parental anxiety. But this trend also raises important questions. Could it be a new, more invasive, form of helicopter parenting?

The rise of location tracking brings concerns about surveillance, autonomy, and trust, especially when it comes to teenagers. Not everyone is on board. In fact, many of those being tracked are actively looking for ways to opt out. One of the most upvoted posts on the Life360 subreddit is titled “Easiest Way to Get Around Life360,” where users are sharing strategies on how to avoid being monitored. Comments from other users reveal a deeper discomfort. One writes, “I don’t like the app at all. It’s just giving controlling parents more of an advantage.” Another asks, “How can children become trustworthy if parents don’t trust them?”

These concerns reflect broader cultural tensions and have even sparked commentary in popular media. The dystopian Netflix series Black Mirror featured an episode titled Arkangel, in which a mother becomes obsessed with monitoring her daughter's every move using a surveillance device. The episode was reportedly inspired by Life360. In contrast, Netflix’s recent show Adolescence explores the struggles of youth in a hyperconnected world. It could be seen as an indirect endorsement of apps like Life360, as it highlights the need for parents and society to pay closer attention to where children are and what they are exposed to online.

Life360 is clearly a divisive technology. It benefits from strong tailwinds such as security-conscious parenting, digital lifestyles, and a rising need for real-time coordination. But it also faces significant headwinds. Privacy concerns, generational resistance, and the potential for increased regulatory scrutiny could limit long-term growth. For investors, these societal and demographic forces are critical to watch. As with most investments, the critical question is whether Life360’s offering will continue to deliver value and become even more compelling over time.

Analyst outlook

According to TipRanks on the CMC Invest platform, bullish factors for Life360 include strong revenue growth and solid EBITDA performance, reflecting the company’s ability to scale effectively. A key upside driver is its growing advertising revenue, which is expected to continue growing significantly. The stock has received ‘Buy’ ratings from analysts at Bell Potter, Morgan Stanley and Goldman Sachs. The average price target stands at $28.31, pointing to a potential upside of 52.7%. That said, the limited number of analyst ratings (only five at present) makes the ratings outlook less definitive than that of larger US stocks, which often attract coverage from 30 or more analysts.

^{Image: TipRanks Analyst Consensus, CMC Invest, 11 April 2025}

On the other hand, TipRanks cites risks associated with the launch of its pet product, including potential delays in manufacturing, logistics and marketing execution. Furthermore, the long-term outlook for advertising revenue remains uncertain, raising concerns about its consistency and impact on future profitability.

Final word

Life360 has grown far beyond a simple tracking app. It is carving out a niche at the intersection of technology, safety, and modern family life. The numbers support its momentum, and investor interest is building. But with scale comes scrutiny. The challenge now is not just to grow, but to evolve. It must balance innovation with trust, and expansion with ethics. If Life360 can navigate these challenges and defend its market position, the stock may still be in the early innings of a much larger story.

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