Pune’s Persistent Systems has just acquired CloudSquads, a Pune and San Francisco based startup that builds social apps for the enterprise market.
After cloud-computing and mobile, the new hottest trend in the industry is SMAC (Social, Mobile, Analytics, and Cloud), and CloudSquads is smack in the middle of this trend. CloudSquads builds products that help companies like E*Trade, GE, Autodesk to use social media for customer support, sales, marketing. In addition they build apps that can be used for providing private social networking features within the enterprise.
From the press release:
CloudSquads helps companies develop a strategy for engaging with the modern social customer across all customer facing functions including brand, marketing, sales and support. The company implements platforms which provide rich capabilities that transform these interactions into healthy communities and then integrates those platforms with companies’ internal systems allowing them to better know and serve their customers.
“Social communities are the natural next step in the evolution and enhancement of external systems of engagement with customers, following the 1-800 number and corporate web presence,” said Ashish Seth, Co-Founder of CloudSquads, Inc. “CloudSquads helps global brands unlock the power of social to realize dramatic increases in employee productivity, double digit improvements in marketing and sales effectiveness and dramatically lower support costs, said Henry Bruckstein, Co-Founder of CloudSquads, Inc. “Combining the global reach and broad technology capabilities of Persistent Systems will allow us to multiply the transformative impact in the market.”
Why is Persistent buying CloudSquads? According to Ranga Puranik, President of Persistent:
“CloudSquads complements our software product development and SMAC (Social, Mobile, Analytics, Cloud) technology expertise with consulting, IP connectors and implementation services around social community platforms and is perfectly aligned to better serve our ISV and enterprise customer base.”
Persistent had recently reported that it had created “Persistent Venture Fund”, a venture fund to invest in early stage startups, mainly in the SMAC domain. Persistent Venture Fund’s first investment was in US-based ustyme, a free video call app for the iPad.
According to Anand Deshpande, CEO of Persistent, the fund will only invest in startups that are strategically interesting to Persistent’s business.
“We consider two aspects for selection. First is the technology area of the start-up and its similarity to our interests, and second the customers that it needs to align with our customer eco-system,” he added.