Salesforce enters HCM market with Rypple acquisition

Stephen Withers
Friday, 16 December 2011 10:10

IT Industry - Deals

Salesforce.com is set to acquire web-based social performance management software provider Rypple and plans to relaunch its product as Successforce.

Salesforce.com has entered into a definitive agreement to acquire cloud-based social performance management company Rypple.

"Salesforce.com and Rypple share a vision for extending the social enterprise to transform the way we work," said Marc Benioff, chairman and CEO, salesforce.com. "The next generation of HCM [human capital managment] is not just about a cloud delivery model, it's about a fundamentally better way to recruit, manage and empower employees in a social world."

Salesforce.com plans to embed some of Rypple's features into its existing products. Customers of core Salesforce products will be able to connect with new employee feedback tools.

Salesforce.com's new HCM business unit, including Successforce, will be led by John Wookey, Salesforce.com's executive vice president of advanced applications.

Current Rypple customers include Facebook, Kobo, Mozilla and Rackspace. Facebook CIO Tiom Compos said "We chose Rypple to be the core of Facebook's employee performance management platform because it's designed from the ground up to be social."

"We are delighted to see it become part of Salesforce.com's social enterprise strategy," he added.

The transaction is expected to close in Salesforce.com's fiscal first quarter, which ends on April 30, 2012, subject to customary closing conditions.