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Salesforce Aims To Connect Companies Via Slack Following $27.7 Bln Deal,


07/22/2021


Salesforce Aims To Connect Companies Via Slack Following $27.7 Bln Deal,
The $27.7 billion acquisition of Slack Technologies Inc by business software maker Salesforce.com has now been closed, the company said on Wednesday,
 
The basis of the acquisition is Salesforce’s belief that the workplace app of Slack will gain popularity fast and be extensively used for collaborations within and between companies.
 
The deal was cleared this week by United States anti trust regulators and the resultant combined entity is believed to become a stronger rival for Microsoft Corp, which is the market leader in the area of workplace software provider. Microsoft’s Teams app is a direct competitor for Slack in this domain.
 
Salesforce President Bret Taylor and Slack Chief Executive Stewart Butterfield said in an interview on Wednesday that the two merged companies are hopeful that the deal will strengthen the efforts of the companies to connect their joint customers to conduct smooth and common business deals.
 
The two companies also want to reduce the levels of complexity of customers using hundreds of different cloud-based apps that have now entered the workplaces, they two chiefs added.
 
For example, all the emails, phone calls and video conferences can be replaced by creating a Slack "channel" and the use of a single interface can be used by a sales team that is doing a deal with a purchasing team at another company. Taylor said that Slack is compatible with thousands of apps and they work well and therefore documents from third-party platforms such as Google Drive can be signed in the channel with the use of services such as DocuSign Inc.
 
"We did the due diligence for the Slack acquisition in Slack," Taylor noted. "I joked it had the highest billable hours of any channel ever, because we had all the lawyers in there and the investment banks," he said, but "it was really a transformative experience," Taylor added.
 
Slack will continue to integrate with the Microsoft app in line with its goal to make it easier for employees to get things done, Butterfield said even though analysts see Teams as Slack's largest rival.
 
"What customers want is interoperability. They don't want to have to make hard choices," Butterfield said. "We'll integrate with everyone - Microsoft and Salesforce, of course, but also ServiceNow and Workday, and more or less anyone you can think of."
 
(Source:www.dailyadvent.com)