Dimdim Has Been Acquired by Salesforce
About Dimdim
- Dimdim, a privately-held company, was a leading provider of real-time communication technologies
- The company’s web conferencing and screen sharing technologies were delivered via the web browser, without the need to install additional software
- Based on open-source technology, the company offered a free version of its software as well as a feature-rich paid premium version
- Dimdim was based in Hyderabad, India and had approximately 75 employees
- Founded in 2007, Dimdim was backed by Draper Richards, Index Ventures and Nexus Venture Partners
About Salesforce.com
- Salesforce.com (NYSE: CRM) is a leading provider of enterprise cloud computing applications and platforms
- A pioneer in the SaaS-delivery model, Salesforce’s core CRM product has been expanded to include customer service and support solutions
- The company also offers a platform for custom application development (Force.com), social collaboration tools (Chatter) and a marketplace for third-party cloud applications (AppExchange)
- At the time of the acquisition, Salesforce had approximately 87,000 customers worldwide
- The company is headquartered in San Francisco, California
Transaction Notes
- The acquisition of Dimdim by Salesforce.com was announced on January 6, 2011 for a value of $31,000,000
- Salesforce.com will use the acquisition of Dimdim to bring new real-time communication capabilities to their Chatter platform, combining collaboration and communication into an integrated service and enabling web conferencing and real-time communication within Chatter
- Using Dimdim’s technology and expertise, Salesforce aims to build Chatter into “Facebook for the enterprise” – an integrated platform for business communication
- “As the company continues to broaden out of its historical sweet spot in the sales organization, we view Chatter as instrumental to achieving an increased footprint across the enterprise, improving stickiness and reducing churn level.” – Sarah Friar, Goldman Sachs Equity Research (January 6, 2011)
- In addition to technology, Salesforce is acquiring a team of world-class developers experienced in building cloud-based collaboration services such as instant messaging and online meetings
- Shea & Company served as the exclusive financial advisor to Dimdim in the company’s sale to Salesforce