Slack to be acquired by Salesforce for $27.7 Billion

Salesforce announced on Tuesday that it will acquire workplace messaging app Slack for a deal which is valued at $27.7 billion. With this acquisition Slack can take the fight to Microsoft thier workplace messaging app Microsoft Teams.

“Together, Salesforce and Slack will shape the future of enterprise software and transform the way everyone works in the all-digital, work-from-anywhere world. I’m thrilled to welcome Slack to the Salesforce Ohana once the transaction closes”

Salesforce CEO Marc Benioff

Slack will become “deeply into every Salesforce Cloud,” and would become the “new interface” for the Salesforce Customer 360 service. “As software plays a more and more critical role in the performance of every organization, we share a vision of reduced complexity, increased power and flexibility, and ultimately a greater degree of alignment and organizational agility. Personally, I believe this is the most strategic combination in the history of software, and I can’t wait to get going,” said Stewart Butterfield, Slack’s CEO.

Microsoft is by far the most dominant player in the productivity space and Slack has struggled to reach Microsoft’s stature in the enterprise workplace.