J
Jeremy Segal
Guest
The Progress acquisition of Domo has now closed, significantly strengthening Progress' ability to provide organizations with the context and control they need to turn fragmented knowledge into governed, secure, AI-ready intelligence. Reflecting on the deal, there was an important “first” for Progress. But it also represented the culmination of years of work, remaining focused on driving Progress forward as a leader in AI infrastructure software.
Since launching our Total Growth Strategy over six years ago, we have navigated a variety of deal types, acquiring companies ranging from boot-strapped to venture capital and private equity-backed, to divestitures. Each time, we have consistently delivered on our reputation as an acquirer of choice. With Domo, we have taken another step forward with our first acquisition of a publicly traded company.
A deal of this scope requires time, commitment and trust from both sides. Our initial conversations date back to 2023, when we began exploring the potential value of our combined offerings. Those opportunities have only grown as we have both made deeper inroads into AI. By staying engaged and building strong relationships, we were able to structure a transaction that was mutually beneficial and ultimately close the deal.
The more we learned about the Domo business, the more interested we became in bringing its cloud-native AI and data platform capabilities to Progress. That appeal only grew as we continued to meet its passionate people.
The team from Domo has been fantastic to work with. They're smart, energetic and dedicated to serving the 2,400 companies who rely on their software. We were pleased to find that many Domo employees had been with the company since its start. Since Progress is a company with a thriving culture and long-tenured employees of our own, employee continuity became yet another point of value between our two companies.
Demand for trustworthy, governed AI-with the context and control needed to add business value-is the core of what Progress delivers. With Domo's capabilities added to our portfolio, Progress is better positioned to help customers gain even more confidence in their AI implementations.
Domo is a data-readiness product, which is an essential part of what Gartner calls the “AI-ready data layer.” It aggregates data across disparate sources, formats and structures, making it ready for AI use. The addition of these capabilities, as well as the data semantics and RAG capabilities of the Progress Data Platform, will enable us to enhance our world-class AI data platform that allows organizations to use AI, and rapidly build and deploy agents with confidence, generating real business value.
These types of AI-forward qualities are aligned with the attributes we look for in our acquisition targets. In this case, Domo advances our strategy to help all businesses manage, contextualize and govern their data so every AI interaction is trusted.
Beyond the technical capabilities, Domo makes sense for additional reasons. It expands our SaaS product revenue and enables Progress to expand and deepen our geographic footprint. Based in Utah and having an established presence in Japan, the Domo deal further improves Progress' ability to serve its 200,000 customers.
We continue to meet our goal of doubling the size of Progress every five years through thoughtful, accretive acquisitions that are strategic and financially disciplined. And we are always on the lookout for additional deals that will bring strong products and great people to Progress. Persistence is what made the Domo deal happen. We are committed to integrating Domo in ways that ensure the ongoing success of its products, people and customers, and that propels Progress forward.
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Progress' First Public Acquisition
Since launching our Total Growth Strategy over six years ago, we have navigated a variety of deal types, acquiring companies ranging from boot-strapped to venture capital and private equity-backed, to divestitures. Each time, we have consistently delivered on our reputation as an acquirer of choice. With Domo, we have taken another step forward with our first acquisition of a publicly traded company.
A deal of this scope requires time, commitment and trust from both sides. Our initial conversations date back to 2023, when we began exploring the potential value of our combined offerings. Those opportunities have only grown as we have both made deeper inroads into AI. By staying engaged and building strong relationships, we were able to structure a transaction that was mutually beneficial and ultimately close the deal.
Domo: Powerful Products, Great People
The more we learned about the Domo business, the more interested we became in bringing its cloud-native AI and data platform capabilities to Progress. That appeal only grew as we continued to meet its passionate people.
The team from Domo has been fantastic to work with. They're smart, energetic and dedicated to serving the 2,400 companies who rely on their software. We were pleased to find that many Domo employees had been with the company since its start. Since Progress is a company with a thriving culture and long-tenured employees of our own, employee continuity became yet another point of value between our two companies.
A Logical—and Strategic Fit
Demand for trustworthy, governed AI-with the context and control needed to add business value-is the core of what Progress delivers. With Domo's capabilities added to our portfolio, Progress is better positioned to help customers gain even more confidence in their AI implementations.
Domo is a data-readiness product, which is an essential part of what Gartner calls the “AI-ready data layer.” It aggregates data across disparate sources, formats and structures, making it ready for AI use. The addition of these capabilities, as well as the data semantics and RAG capabilities of the Progress Data Platform, will enable us to enhance our world-class AI data platform that allows organizations to use AI, and rapidly build and deploy agents with confidence, generating real business value.
These types of AI-forward qualities are aligned with the attributes we look for in our acquisition targets. In this case, Domo advances our strategy to help all businesses manage, contextualize and govern their data so every AI interaction is trusted.
Growth Through Acquisition
Beyond the technical capabilities, Domo makes sense for additional reasons. It expands our SaaS product revenue and enables Progress to expand and deepen our geographic footprint. Based in Utah and having an established presence in Japan, the Domo deal further improves Progress' ability to serve its 200,000 customers.
Looking Ahead
We continue to meet our goal of doubling the size of Progress every five years through thoughtful, accretive acquisitions that are strategic and financially disciplined. And we are always on the lookout for additional deals that will bring strong products and great people to Progress. Persistence is what made the Domo deal happen. We are committed to integrating Domo in ways that ensure the ongoing success of its products, people and customers, and that propels Progress forward.
Continue reading...