Zoom announced Tuesday that it has entered into a definitive agreement to acquire Five9, a leading provider of intelligent cloud contact center solutions, in an all-stock transaction valued at approximately $14.7 billion. The acquisition is expected to help enhance Zoom’s presence with enterprise customers and allow it to accelerate its long-term growth opportunity by adding the $24 billion contact center market.
"We are continuously looking for ways to enhance our platform, and the addition of Five9 is a natural fit that will deliver even more happiness and value to our customers," said Eric S. Yuan, CEO and founder of Zoom. "Zoom is built on a core belief that robust and reliable communications technology enables interactions that build greater empathy and trust, and we believe that holds particularly true for customer engagement. Enterprises communicate with their customers primarily through the contact center."
"Businesses spend significant resources annually on their contact centers, but still struggle to deliver a seamless experience for their customers," said Rowan Trollope, CEO of Five9. "It has always been Five9’s mission to make it easy for businesses to fix that problem and engage with their customers in a more meaningful and efficient way. Joining forces with Zoom will provide Five9’s business customers access to best-of-breed solutions."
Zoom’s acquisition of Five9 is seen as complementary to the growing popularity of its Zoom Phone solution, supplying a modern, cloud phone system that offers a digital alternative to legacy phone solutions. In addition, the combination is seen as offering both companies significant cross-selling opportunities to each other’s respective customer bases.
Following the completion of the transaction, Five9 will become an operating unit of Zoom and Rowan Trollope will become a president of Zoom and continue as CEO of Five9, reporting to Eric Yuan.