Salesforce Acquires Own for $1.9B in Cash
- Salesforce has acquired Own Company for $1.9 billion, enhancing its data management and protection capabilities.
- Own, founded in 2015, specializes in enterprise data backup tools and has raised significant funding prior to the acquisition.
- The acquisition reflects Salesforce's commitment to data security and may signal a renewed focus on larger acquisitions.
Salesforce has made a significant move by acquiring Own Company, a New Jersey-based firm specializing in data management and protection solutions, for $1.9 billion in cash. This acquisition reflects Salesforce's commitment to enhancing its data security offerings, as highlighted by GM Steve Fisher, who emphasized the importance of robust data protection in today's digital landscape. Own, originally founded as OwnBackup in 2015, has developed a suite of enterprise-focused data backup tools, including automated backup and disaster recovery services, which are crucial for businesses facing increasing threats from ransomware and data loss incidents. The acquisition comes at a time when the global data backup and recovery market is experiencing substantial growth, valued at $12.9 billion in 2023, with a compound annual growth rate of 10.9%. This growth is driven by various factors, including rising cybersecurity threats and stringent data management regulations. Own's expertise in data resilience and security is expected to complement Salesforce's existing data management tools, allowing the company to offer a more comprehensive suite of products to its customers. Own's CEO, Sam Gutmann, expressed enthusiasm about the partnership, stating that it would enhance their ability to drive innovation and ensure compliance in highly regulated industries. The acquisition is anticipated to close in the fourth quarter of Salesforce's fiscal year 2025, pending regulatory approvals. This move may signal a shift in Salesforce's acquisition strategy, as it had previously indicated a retreat from large-scale mergers and acquisitions under pressure from activist investors. In recent weeks, Salesforce has also engaged in smaller acquisitions, indicating a potential return to a more aggressive growth strategy through M&A. The integration of Own's capabilities is expected to bolster Salesforce's position in the competitive data management market, ultimately benefiting its customer base with enhanced data protection solutions.