Salesforce acquires Social Media Monitoring Company Radian6 for a Price of $326 Million
Enterprise cloud computing giant Salesforce has acquired social media monitoring platform Radian6 for approximately $276 million in cash and $50 million in stock, In addition, approximately $10 million in stock and $4 million in cash will be issued to Radian6′s founders.
Radian6 is a company which helps clients like Dell, GE, Kodak and UPS monitor, analyze and engage in ‘hundreds of millions’ of social media conversations. Salesforce claims that the acquisition of the company will enable it to enhance all of its products, including Sales Cloud, Service Cloud, Chatter and Force.com.
“With Radian6, salesforce.com is gaining the technology and market leader in social media monitoring,” chairman and CEO of Salesforce Marc Benioff said in the company’s announcement.
This acquisition would be the third large acquisition by Salesforce in a recent months, early the company acquired Ruby cloud platform Heroku for $212 million in December. That same month, Salesforce also acquired contact management startup Etacts for an undisclosed amount.
Radian6 was found in 2006 and has been helping companies monitor the social web (Facebook, Twitter, blogs, YouTube, forums and so on) in order to provide actionable insights in real-time and thus enable its clients to effectively join conversations with customers and prospects.
Social media management and monitoring space has been the center of several large investments and acquisitions lately. Salesforce expects the transaction to close in its fiscal second quarter ending July 31, 2011, subject to customary closing conditions.