Salesforce Not Acquiring Informatica: Potential AI, Sustainability, ESG Software Deal Apparently Won't Happen

M&A discussions involving Salesforce and Informatica have ended because the two companies couldn't agree on terms, The Wall Street Journal reported.

The Salesforce-Informatica M&A chatter, first reported on April 12, had multiple sustainability and ESG software implications.

Related: See all M&A deals involving sustainability, climate tech and green IT services listed here.

Salesforce, led by CEO Marc Benioff, is best known for its cloud-based CRM software. But the company also makes an AI software platform (Salesforce Einstein) and a sustainability software platform (Salesforce Net Zero Cloud).

Informatica, led by CEO Amit Walia, is an enterprise data management software company. The company's software has numerous use cases -- spanning data quality, observability, integration, compliance and plenty more. But dig a little deeper, and you'll notice how Informatica's software can assist companies with their ESG and sustainability goals.

Salesforce, founded in 1999, is based in San Francisco. Annual revenues were roughly $34.86 billion in fiscal year 2024, up 11.2% from 2022. The company had 79,390 employees as of December 2023.

Informatica, founded in 1993, is based in Redwood City, California. Annual revenue was $1.6 billion in 2023, up 6% from the previous year. The company had roughly 5,000 employees as of December 2023.

Informatica's market cap was $11.35 billion in premarket trading on April 15, 2024.

Both companies are pushing hard into the AI (artificial intelligence) market. Salesforce Einstein Copilot -- a generative AI assistant for CRM, entered beta testing in February 2024. Similarly, Informatica CLAIRE has copilot capabilities that allow customers to "automate a wide range of data management tasks."

Neither Salesforce nor Informatica have commented about the M&A discussions, which apparently have ended with no deal in place. We don't know if the companies will return to the negotiating table.

Note: Blog originally posted April 15, 2024. Updated on April 22, 2024.