Salesforce.com To Acquire Radian6-Social Media Monitoring Platform

Salesforce.com, the enterprise cloud computing company, has announced it has entered into a definitive agreement to acquire Radian6, the social media monitoring platform, for approximately $276 million in cash and $50 million in stock, net of cash acquired. The transaction is expected to be completed in salesforce.com’s fiscal second quarter ending July 31, 2011, subject to customary closing conditions.

Radian6’s products include a monitoring platform designed to help companies track and analyse their social media efforts, as well as an engagement platform to help companies connect with individuals and communities online.

Salesforce.com recognises that the adoption of social media has brought about a shift in the industry to Cloud 2. The proposed acquisition of Radian6 will accelerate the enterprise’s shift to Cloud 2 by helping companies better manage the social interactions taking place both inside and outside their companies.

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By combining Radian6’s social media monitoring and engagement platform with Sales Cloud and Service Cloud, companies can gain real-time social intelligence. Radian6 and salesforce.com will create the bridge between public social networks, like Facebook, Twitter, YouTube, blogs and online communities, and Salesforce Chatter, the private, secure social network for the enterprise. Chatter feeds will no longer just contain the activity happening within the walls of a company, but will be filled with real time insights from fans on Facebook pages, followers on Twitter, comments on blog posts and more.

With the Force.com platform, developers will be able to build apps that tap into the power of Radian6, putting the social web into everything they build.

Salesforce.com will acquire Radian6 for approximately $276 million in cash and $50 million in stock, net of cash acquired. In addition, approximately $10M in stock and $4M in cash will be issued to founders and will be subject to vesting conditions over two years. The acquisition has been approved by Radian6’s board of directors and stockholders and is expected to close in the second quarter of salesforce.com’s fiscal 2012, ending July 31, 2011, subject to customary closing conditions.

“With Radian6, salesforce.com is gaining the technology and market leader in social media monitoring,” said Marc Benioff, chairman and CEO, salesforce.com. “We see this as a huge opportunity. Not only will this acquisition accelerate our growth, it will extend the value of all of our offerings.”

“Social media has made every business recognise the value of paying attention to the voice of the customer. Radian6’s technology is built for the new norm of customer engagement - real time, two way conversations that includes social channels,” said Marcel LeBrun, CEO, Radian6. “Joining the salesforce.com team will allow Radian6 to grow faster to meet the demands of our rapidly expanding customer base.”