What happened
Channel-based messaging platform actions Loose technologies (NYSE: JOB) It fell sharply on Wednesday, declining more than 5% by the time the market closed. The decline in shares came when Slack filed an antitrust complaint against Microsoft (NASDAQ: MSFT) in Europe.
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And that
Slack’s competition complaint argues that Microsoft is engaging in an illegal anti-competitive practice of “abusing its market dominance to extinguish competition in violation of European Union competition law,” the company said in a statement about the complaint. . “Microsoft has illegally linked its Teams product to its market-leading Office productivity suite, forces millions to install it, blocks its removal, and hides the true cost to business customers.”
Some investors may be concerned that this indicates a slowdown in Slack’s growth recently as Microsoft aggressively markets its own workplace chat app, Teams.
Now what
The teams don’t appear to have slowed Slack’s growth in recent quarters. In the company’s first quarter of fiscal year 2021, for example, revenue increased 50% year-over-year, and the tech company added 12,000 new paying customers and more than 90,000 organizations by including its new customers who are in a free plan.
For its second quarter, Slack said he expected revenue of between $ 206 million and $ 209 million, representing growth from 42% to 44% year-over-year.
