The Strategist

Meta gets green light to buy chatbot developer Kustomer for $1B

02/17/2022 - 05:43

Meta (formerly Facebook) received permission to buy chatbot developer Kustomer for $1 billion. The deal was announced back in November 2020, but was thwarted by a lawsuit from authorities accusing the company of monopoly.

Billionaire Mark Zuckerberg's company Meta (formerly Facebook) received approval to buy U.S. startup Kustomer, a developer of chatbots and customer interaction platforms. It was announced in a statement on the company's website.

"Meta has completed the acquisition of Kustomer. We are pleased to officially welcome Kustomer to Meta and together create a faster and easier experience for people and businesses to communicate. <...> Meta has met all regulatory requirements to close the transaction," the company said.

Meta first announced the purchase of Kustomer back in November 2020, without disclosing the value of the deal. According to Bloomberg and The Wall Street Journal sources, the company was valued at $1 billion. 

The deal was prevented from closing by a lawsuit filed by the U.S. Federal Trade Commission (FTC), which accused Zuckerberg's company of "illegally monopolizing" the market, Bloomberg writes. The hearing took more than a year. As a result, Meta was inspected by the FTC, and before that, in September 2021, it received separate approval from the UK antitrust authorities.