The Zoom video conferencing platform plans to acquire cloud-based contact center company Five9 in a transaction of approximately $ 14.7 billion.
Five9 shareholders will receive 0.5533 Class A common share of Zoom Video Communications for each share of Five9. The transaction is expected to be finalized in the first half of 2022.
“We are always looking for ways to improve our platform, and adding Five9 is a natural fit,” said Zoom Founder and CEO. Eric S. Yuan said in a Press release. “Zoom is built on the fundamental belief that robust and reliable communication technology enables interactions that build empathy and trust, and we believe this is especially true for customer engagement. “
He added that many companies use a contact center to communicate with their customers and that the acquisition of Five9 “will redefine the way businesses of all sizes connect with their customers.”
The addition of Five9’s contact center as a service (CCaaS) solution is expected to strengthen Zoom’s presence with corporate customers and enable Zoom to penetrate the $ 24 billion contact center market, the statement said. .
“Companies devote significant resources to their contact centers each year, but still struggle to provide a seamless experience for their customers,” said Rowan Trollope, CEO of Five9.
The acquisition of Five9 also complements Zoom’s cloud-based telephony system called Zoom Phone, which offers a digital alternative to help organizations connect and engage. The combined entity also brings an increased level of cross-selling opportunities to both companies. Zoom said he expects the addition of Five9 to give him a “greater role in driving the digital future.”
Five9 will become a separate division of Zoom after the deal closes. It is expected that Trollope will become president of Zoom and continue as CEO of Five9, reporting to Yuan.
Zoom said in March that it expects demand for remote business tools to remain high even after the pandemic is long in the rearview mirror. In May, Zoom released an experiences tool called OnZoom which was tested in October 2020. During the trial, paid Zoom customers were able to create, host, and enjoy extending courses, lessons or the theater.