Zoom announced that it has agreed to acquire the cloud-based call center platform Five9 in an all-stock transaction worth around USD 14.7 billion. The acquisition is at a 13% premium to Five9’s market cap at Friday’s close, and the transaction is expected to close in the first half of 2022.  Upon completion, Five9 will become an operating unit under Zoom, which Five9’s CEO Rowan Trollope is expected to continue leading while also becoming Zoom’s president.

Founded in 2001, Five9 provides businesses with tools to manage inbound customer communications over voice, messaging, and email. Five9 has over 2,000 customers worldwide and processes more than 7 billion call minutes annually.

The acquisition is expected to facilitate Zoom’s entry into the USD 24 billion contact center market and accelerate its enterprise customer base. Furthermore, the acquisition continues Zoom’s product diversification strategy, which has already seen the virtual meetings platform introduce a cloud-based phone system (Zoom Phone) and remote communication hardware. The acquisition of Five9 is expected to complement “Zoom Phone” as the company attempts to provide an all-in-one enterprise communication platform.