The leading teleconferencing services provider Zoom Video Communications has decided to buy cloud software provider Five9 Inc. in a deal worth $14.7billion. The deal “targets business clients looking to boost customer engagement” according to Reuters.
Zoom came into the limelight two years ago with a valuation of $9 billion at its IPO and became popular with the onset of the pandemic. Many companies, schools, and organizations made use of this platform for meetings, conducting classes, and other activities online. Zoom made the virtual ‘get-togethers’ easier. Before the pandemic, the app was not known by many. But the user-friendly interface made it the favourite of many among the other video calling apps.
Through this acquisition, they are trying to compete with their rivals in a fair manner. Facebook and Alphabet are adding new features into their teleconferencing apps with a view to attracting more customers. Zoom view this deal as a way to even the scorecard. The acquisition will aid Zoom Phone Service by making use of the business customers of Five9. Five9 has over 2000 customers worldwide including and has over 7 billion minutes of calls in an year. The acquisition will also optimize customer interactions across various channels.
