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January 13, 2011 Acquires Dimdim, Prompted by Facebook

By David Sims, TMCnet Contributing Editor (News - Alert) has acquired Dimdim in a $31 million cash deal, according to industry observer Doug Henschen, who described the deal as “aimed at boosting the real-time communications technologies behind the CRM vendor's Chatter service.”

Founded in 2007, Henschen said, Dimdim “provides a Web-conferencing and collaboration service. Salesforce said it will integrate Dimdim's presence-awareness, messaging and screen-sharing technologies with Chatter to advance what the company calls its most successful product launch to date.”

"More than 60,000 of our 87,200 customers have deployed Chatter since its release in June," George Hu, executive vice president, platform and marketing, was quoted by Henschen. "Customers that have deployed Chatter within our Sales Cloud and Service Cloud have shown higher login rates and higher usage rates."

 “Facebook has fundamentally changed the way we communicate in our personal lives,” said Marc Benioff (News - Alert), chairman and CEO of, in a statement. “The acquisition of Dimdim will help deliver to the enterprise the same integrated collaboration and communication experience that made Facebook (News - Alert) the world’s most popular Internet site.”

Salesforce will keep Dimdim’'s engineering team, focused on cloud-based communication and collaboration.

“Facebook initiated this shift by training users around the world on real-time collaboration, including feeds and status updates,” wrote TMC’s (News - Alert) Andrew Litz. “It proved the value of integrated collaboration and communication, with such services as presence and messaging helping to fuel user adoption.”

In related news, recently acquired Heroku, a cloud platform for writing Ruby-based applications. Heroku powers more than 110,000 next-generation social and mobile cloud applications. As a result, Java and Ruby—the major Cloud 2 languages—will be supported by the cloud platform.

David Sims is a contributing editor for TMCnet. To read more of David’s articles, please visit his columnist page. He also blogs for TMCnet here.

Edited by Juliana Kenny

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