This deal represents one of the significant acquisitions in the business software industries in recent years, as well as being the major acquisition for Salesforce.
Salesforce CEO Marc Benioff said: Together, Salesforce and Slack are shaping the future of enterprise software and changing the way everyone works in the fully digital world of work, from anywhere.
Slack went from a fast-growing startup that was formed as a games company in 2009 to a major competitor to Microsoft.
Slack has over 12 million daily active users as of October last year Its market value approaches $ 25 billion.
The company started as an alternative to email, and presented itself to startups, media companies, and other technology companies as able to better manage communications between offices.
The app has evolved into a complete productivity suite with the features of video conferencing, file hosting, IT management, and all kinds of other features that are typically offered by large companies.
Earlier this year, the company expanded its partnership with IBM to cover the entire company’s workforce of more than 350,000 employees.
Slack struggled in the face of stiff competition from Microsoft, Facebook, and other companies that launched their own versions of desktop chat and productivity platforms.
The company has lost nearly half of its market value since its public offering in April 2019, and has failed to make profits during the last three quarters, despite the increase in remote work due to Corona.
Salesforce, also a major Microsoft competitor in the cloud, is valued at nearly $ 220 billion.
Salesforce has grown to be one of the major software companies in the world, thanks to a customer relationship management software that helps companies manage online sales.
Demand for Salesforce and Slack increased during the coronavirus pandemic as companies around the world moved to remote work and move large parts of their business to the internet.
And unlike Slack, which has seen a series of sharp ups and downs in its share price, Salesforce has seen an expansion in its market valuation in recent months.
Salesforce shares peaked at an all-time high in September.
The joining of Salesforce and Slack together ensures that both systems can better compete against Microsoft, Oracle, cloud, and other businesses in the future.