Salesforce.com Acquiring Buddy Media For Over $800 Million
Salesforce.com is preparing to acquire Buddy Media, a company that helps brands manage their presence on Facebook. Buddy Media’s price will be at over $800 million according to sources with AllThingsD. People that are familiar with the transaction say that Salesforce.com outbid Google for Buddy Media.
Buddy Media is known for helping large brands on Facebook, but recently expanded to Twitter, LinkedIn, and Google+. Buddy Media is able to convince big companies to work with them by saying that they can maintain their apps, ads, and pages on Facebook.
It is surprising that ad agency WPP was not the one to acquire Buddy Media. WPP is already an investor in Buddy Media and they recently announced a deal to route all of their Facebook ad buying through them. Salesforce.com intends to use Buddy Media to expand their CRM services.
Salesforce.com is not the only big company to invest heavily in a social media acquisition. Last week Oracle Corporation acquired Vitrue and outbid Salesforce.com for the deal. Oracle spent $300 million on the acquisition. Buddy Media had raised $90 million in funding and was valued at around $500 million during their most recent funding round in August 2011.