As the battle for data interpretation and deep tech presses on, Israel posts another winner to the global scoreboard of acquisitions. Valued at a deal worth $575 million, Israeli business intelligence company Chorus.ai announced Tuesday that it has agreed to be acquired by ZoomInfo. In an all cash transaction, with a tax benefit of over $100 million, the deal proves once more to onlookers that Israeli founders and CEOs in the B2B market are a market-moving force.
Chorus.ai is a market-tech company, focusing on merging analysis of human behavior with pure data consideration. The company’s proprietary software and service, which holds multiple patents, integrates into commonly used communication services such as Zoom and Google Meet to analyze live interactions between parties to instruct the presenting party (ie. salesperson) with real-time interpretations.
B2B companies then use this data to coach and guide call reps, allowing them to optimize their offered sales, etc. journey to the other B2B party.
As an Israeli CEO involved in the world of digital marketing and data interpretation, I can attest that the infinite value that comes from SaaS companies focused on sales experience and data collection has not yet reached its full potential.
Leading up to the acquisition, Chorus.ai successfully convinced VCs that their startup was the next big player in data interpretation, which earned the company $100 million in raised capital. The company has 200 employees currently, 40 of which are in Tel Aviv.
Founded by Yonatan Stern, ZoomInfo was originally founded in Israel. The company went through an IPO in 2020, following multiple acquisitions along the way. ZoomInfo holds a portfolio of over 20,000 customers, including Google, Zoom, Amazon, and T-Mobile.
As a strategic move, ZoomInfo now looks to increase market share by offering the integrated services provided by Chorus.ai. The acquisition will place ZoomInfo in direct competition with Gong, another Israeli-founded company. Currently valued at $7.2 billion, Gong’s market represents B2B customers looking to analyze calls using a bot to better equip sales teams to close deals.
As the battle wages on for the creation and capture of new markets, Israeli companies continue to put domestic and international firms to the test. As companies like Chorus.ai, ZoomInfo, and Gong push the limits of optimizing B2B operations, industry investors and participants will only see an increase in the number of billion-dollar companies changing hands via mergers and acquisitions.