Twilio (TWLO) – Get Report announced that it plans to buy customer-data platform Segment for $3.2 billion of stock.
“Data silos destroy great customer experiences,” Jeff Lawson, co-founder and chief executive of the San Francisco company, said in a statement.
Closely held Segment, also San Francisco, “lets developers and companies break down those silos and build” complete pictures of customers.
“Combined with Twilio’s customer engagement platform, we can create more personalized, timely and impactful engagement across customer service, marketing, analytics, product and sales,” he said.
“The businesses that deliver the best experiences are the ones that know their customers well and use customer data to provide more relevant interactions,” Twilio said.
“However, wrangling these customer insights is extremely difficult as the information is typically spread across disparate systems and functions throughout an organization. … Twilio can now alleviate this pain for businesses by delivering a single, unified view that helps companies better understand their customers.”
The combined company will have a total addressable market of $79 billion, Twilio said.
Both boards have approved the transaction, and the companies hope to close the deal in the fourth quarter, subject to conditions they didn’t specify.