Facebook Acquires Kustomer for $1 Billion

Facebook announced they were acquiring Kustomer, a startup company that specialises in customer-service platforms. The deal was for just over $1 billion according to a report of The Wall Street Journal

Brad Birnbaum, CEO, Kustomer, said – “Throughout the last five years, we have had the opportunity to power the customer experiences of many of today’s most innovative global companies. And we’re just getting started. We are delighted to share with you the next step in our journey and the news that we have signed an agreement to be acquired by Facebook subject to customary regulatory review.”

He added – “Once the acquisition closes, we look forward to working closely with Facebook, where we will continue to serve our customers and work with our partners as part of the Facebook family. With our complementary capabilities, we will be able to help more people benefit from customer service that is faster, richer and available whenever and however they need it–via phone, email, text, web chat or messaging. In particular, we look forward to enhancing the messaging experience which is one of the fastest growing ways for people and businesses to engage.”

The New York-based Kustomer was founded in 2015, and has raised about $173 million, according to Crunchbase.

In the past, Facebook has primarily acquired consumer-centric companies like gif catalog company Giphy in May 2020 and PlayGiga, a Spanish cloud video gaming company , in December 2019.

-AK

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Arya has been a part of the Content & Research Team at Hrnxt.com. She is a keen observer of  economic developments, emerging businesses, people in business and keeps a tab on latest happenings in the business environment.

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