Cloud communications platform provider Twilio Inc intends to buy customer data infrastructure firm Segment for about $ 3.2 billion, the publication Forbes reported late last week.
The deal, which had not been finalized as of Friday afternoon, was anticipated to be at least partly based on Twilio inventory, the report added, citing two sources it didn’t name.
San Francisco-based Segment has recently been open to acquisition offers, according to the report.
Segment wasn’t immediately available for comment outside regular business hours.
Segment raised $175 million in a Series D financing round in April 2019. The start-up said in September that it worked with over 20,000 companies including Intuit, FOX and Levi’s, employing more than 550 people.
Cloud companies have noticed a spike in demand this year as more businesses utilize their services to fulfil the demands of the switch to work in the home due to the coronavirus outbreak.
“Twilio is a beneficiary of pandemic-catalysed digital transformation acceleration,” broker JP Morgan said in a note this month.
Last week, Twilio estimated third-quarter earnings above its previous forecast, since the switch to remote working and learning fostered demand for cloud services.
The team at Platform Executive hope you have enjoyed this news article. Initial reporting via our official content partners at Thomson Reuters. Reporting by Juby Babu and Kanishka Singh. Editing by William Mallard.
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