 "ThoughtSpot acquires business intelligence firm Mode Analytics for $200 mn")
AI-powered analytics firm ThoughtSpot on Tuesday announced that it has signed an agreement to acquire business intelligence company Mode Analytics for $200 million, in a move that is expected to double its customer base.
ThoughtSpot expects the deal to take its Annual Recurring Revenue (ARR) above $150 million and double its customer base. The acquisition will also expand ThoughtSpot’s presence in India to Kolkata and 31 employees of Mode Analytics will now come onto the rolls of ThoughtSpot in this city.
“With very little customer overlap, the transaction will create new opportunities for each company to bring its products to customers, while further scaling Mode across ThoughtSpot’s international market presence and broad channel and partner alliances,” ThoughtSpot said in a press note.
Over the last fiscal year, the business analytics firm's SaaS ARR doubled. The company supports global enterprises such as Verizon, CVS, Anthem, Capital One, and Snowflake, as well as Comcast and digital natives like Wellthy, Modern Milkman, and Huel, more effectively leveraging their data in the cloud.
According to ThoughtSpot, the combined analytical tools of the two firms would transform business intelligence with generative AI and deliver value to the business quickly, securely, and at scale.
The Mountain View, California-based company previously announced plans to invest $150 million in India by 2027. Currently, it has R&D teams in Bengaluru, Hyderabad and Trivandrum spanning engineering and partner engineering, to design and operations. The company plans to grow its headcount in India by 30 per cent over the next five years.
“For too long, data teams have been held back by the last generation of archaic data visualisation tools like Tableau that forced them to endlessly tweak and update dashboards. With this acquisition, we’re giving both data teams and business users the tools they need to efficiently and quickly turn data into insights and those insights into actions,” said Sudheesh Nair, Chief Executive Officer of ThoughtSpot.
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Upon the close of the acquisition, Mode will become a wholly-owned subsidiary of ThoughtSpot. The acquisition is subject to customary closing conditions, including the receipt of Mode’s stockholder approval, and is expected to close later this year.
“Today we celebrate the beginning of a new, exciting chapter, not only for Mode but for the modern data stack, which has been sorely lacking a truly modern business intelligence platform - until now. As part of ThoughtSpot, we will help supercharge the business impact of data teams, empowering them to deliver trustworthy AI-powered insights to their organizations quickly,” said Gaurav Renwari, CEO of Mode.