Salesforce Acquires Informatica for $8 Billion to Bolster AI Capabilities

Salesforce has solidified its position in the AI and data management space by acquiring Informatica, a cloud data management firm, in an $8 billion equity deal. The acquisition, announced Tuesday, marks a significant step for Salesforce in enhancing its AI and data infrastructure capabilities.

The move comes roughly a year after initial rumors of the acquisition caused stock prices of both companies to dip. At the time, Informatica publicly denied it was for sale. However, the landscape has clearly shifted, culminating in this major acquisition.

Under the agreement, Salesforce will pay $25 per share in cash for Informatica’s Class A and Class B-1 common stock, adjusted for its prior investment in the company. This acquisition aims to integrate Informatica’s robust data management solutions into Salesforce’s existing ecosystem.

Informatica, founded in 1993, boasts a substantial global presence, serving over 5,000 customers across more than 100 countries. Prior to the acquisition announcement, the company held a $7.1 billion market capitalization.

Salesforce anticipates that this acquisition will significantly enhance its agentic AI capabilities. The company stated in a press release that integrating Informatica’s data infrastructure and governance tools will enable its AI agents to operate more “safely, responsibly, and at scale across the modern enterprise.”

Salesforce CEO Marc Benioff emphasized the transformative potential of the acquisition, stating, “Together, we’ll supercharge Agentforce, Data Cloud, Tableau, MuleSoft, and Customer 360, enabling autonomous agents to act with intelligence, context, and confidence across every enterprise. This is a transformational step in delivering enterprise-grade AI that is safe, responsible, and deeply integrated with the world’s data.”

The discussions leading to this deal reportedly began in April 2024, with initial market reactions reflecting concerns about integration challenges. Despite Informatica’s initial denial of sale discussions, the acquisition has now been finalized.

This acquisition isn’t Salesforce’s first foray into data management; in September, the company acquired Own Company for $1.9 billion in cash. These strategic acquisitions highlight Salesforce’s commitment to strengthening its data management and security offerings.

“Data security has never been more critical, and Own’s proven expertise and products will enhance our ability to offer robust data protection and management solutions to our customers,” noted Salesforce general manager Steve Fisher regarding the Own Company acquisition.