Zoom Plans To Continue Growing After The Pandemic

The pandemic made us change how we work and live. And these new conditions are not a perfect fit for all businesses. But, some businesses were just waiting for an opportunity like this. Most tech and e-commerce companies have just flourished during the previous year, so we saw some great growth from Amazon AMZN, Alphabet's Google GOOG, and Microsoft MSFT. One of the biggest beneficiaries of distance schooling and remote working is Zoom Video Communications, Inc. ZM.

When the company finished its fiscal 2020 with revenues of $623 million and net profit of $ 22 million and the following fiscal year which ended this January 31, the revenues skyrocket to $2.6 billion with a net profit of $671, which must be some amazing tailwind! That growth will be hard to repeat. Still, Zoom is moving ahead to secure its business does not decrease when we go back to our offices, or at least when we shift to hybrid work.

Acquisition Of Five9

After acquiring a startup Keybase Inc. last year, which enabled Zoom to complete its videoconferencing service with end-to-end encryption capabilities, and a translation software company Kites GmbH last month, Zoom decided on its biggest acquisition. The latest target is Five9, Inc. FIVN, a secure and highly scalable cloud-based contact center, with over 2,000 customers including Under Armour, Inc. UA and Citrix Systems, Inc. CTXS.

Five9's call center processes over 7 billion minutes of calls per year. This will provide additional support to Zoom's phone business and enable Zoom to enter a contact center market worth $24 billion. The popularity of cloud-based contact centers has been rising over the past years, and it was additionally accelerated during the pandemic, as it allows the staff to work remotely. The deal is expected to close in the first half of 2022 for $ 14.7 billion.

Market & Outlook

In the first three months of fiscal 2022, Zoom's revenues continued to rise to $956 million, which is a jump of 191%, compared to the same period the year before. Maybe Zoom has some amazing momentum at the moment, but it is not the only company thinking about the major acquisition. Salesforce.com CRM, famous for its cloud-based customer relationship management service and other software, agreed to acquire Slack Technologies, Inc. WORK for its business communication platform and other solutions, for $27.8 billion. A similar example is Advanced Micro Devices, Inc. AMD's $35 billion acquisition of Xilinx, Inc. XLNX.

This article is not a press release and is contributed by a verified independent journalist for IAMNewswire. It should not be construed as investment advice at any time please read the full disclosure. IAM Newswire does not hold any position in the mentioned companies. Press Releases – If you are looking for full Press release distribution contact: press@iamnewswire.com Contributors – IAM Newswire accepts pitches. If you

The post Zoom plans to continue growing after the pandemic appeared first on IAM Newswire.

Image by Luisella Planeta Leoni from Pixabay

Posted In: AmazonFIVE9IAM NewswireMicrosoftPartner Contenttech stocksZOOMEarningsNewsTechGeneral

Ad Disclosure: The rate information is obtained by Bankrate from the listed institutions. Bankrate cannot guaranty the accuracy or availability of any rates shown above. Institutions may have different rates on their own websites than those posted on Bankrate.com. The listings that appear on this page are from companies from which this website receives compensation, which may impact how, where, and in what order products appear. This table does not include all companies or all available products.

All rates are subject to change without notice and may vary depending on location. These quotes are from banks, thrifts, and credit unions, some of whom have paid for a link to their own Web site where you can find additional information. Those with a paid link are our Advertisers. Those without a paid link are listings we obtain to improve the consumer shopping experience and are not Advertisers. To receive the Bankrate.com rate from an Advertiser, please identify yourself as a Bankrate customer. Bank and thrift deposits are insured by the Federal Deposit Insurance Corp. Credit union deposits are insured by the National Credit Union Administration.

Consumer Satisfaction: Bankrate attempts to verify the accuracy and availability of its Advertisers' terms through its quality assurance process and requires Advertisers to agree to our Terms and Conditions and to adhere to our Quality Control Program. If you believe that you have received an inaccurate quote or are otherwise not satisfied with the services provided to you by the institution you choose, please click here.

Rate collection and criteria: Click here for more information on rate collection and criteria.