Source URL: https://www.theregister.com/2024/09/06/salesforce_own_company/
Source: The Register
Title: Salesforce now owns Own Company after $1.9B bargain hunt
Feedly Summary: Acquisition of SaaS backup vendor ends mega-merger moratorium
Having adopted Own Company’s technology, Salesforce has decided to buy the SaaS data protection and data management outfit for $1.9 billion in cash.…
AI Summary and Description: Yes
Summary: Salesforce has acquired Own Company for $1.9 billion, significantly lower than its previous valuation. This acquisition underscores the growing importance of data security and management solutions, bolstering Salesforce’s capabilities in these areas. The deal follows Salesforce’s recent partnerships with Own Company, highlighting a trend in consolidation within the SaaS data protection market.
Detailed Description:
Salesforce, a leading CRM platform, has made a strategic acquisition of Own Company, investing $1.9 billion in cash to enhance its data protection and management capabilities. This acquisition is particularly noteworthy for professionals in the fields of cloud computing and data security, given the increasing importance of safeguarding data within SaaS environments.
Key points related to the acquisition and its implications include:
– **Rationale for Acquisition**:
– Salesforce’s president for the Einstein 1 Platform, Steve Fisher, emphasized the critical nature of data security in today’s landscape. The acquisition aims to improve Salesforce’s offerings in data protection and management solutions.
– **Own Company’s Technologies**:
– Own Company’s technology, previously known as OwnBackup, specializes in Continuous Data Protection (CDP) that captures changes to production data in real time. This technology is vital for ensuring data integrity and provides a comprehensive historical record of data changes.
– **Preceding Relationships**:
– The acquisition builds on recent collaborations between Salesforce and Own Company, where they worked together on data backup solutions for Salesforce’s customer base.
– **Market Context**:
– The acquisition occurs against a backdrop of increased scrutiny from investors—specifically, Elliott Management, which has pressured Salesforce to improve growth and profitability post-acquisitions.
– **Previous Acquisitions**:
– Salesforce has a history of significant acquisitions aimed at expanding its capabilities, including Slack, Tableau, and MuleSoft, which have positioned it strongly in various sectors.
– **Industry Trends**:
– The move reflects a broader trend in the SaaS industry towards integrating data protection into core offerings, catering to growing compliance and security demands.
This acquisition is particularly relevant for security and compliance professionals who focus on how integrated data protection solutions can mitigate risks associated with data breaches and enhance overall organizational resilience. The ongoing evolution of cloud computing necessitates robust security measures, and such acquisitions signal an adaptation to these challenges within leading companies like Salesforce.