Tuesday , January 18 2022

How did your family start a $ 8 billion startup?


Ryan and Jared Smith are the most recent billionaires in the tech industry. Bloomberg News reported that Bloomberg will sell Utrecht-based Qualtrics International to European software company SAP for $ 8 billion.

Ryan Smith, 40, is the CEO of the company that was founded in 2002 and has not accepted foreign investment for 10 years, unlike most start-ups. Individual funding is available from Accel and Sequoia Capital only in 2012.

Qualtrics provides online marketing research software for global corporations such as Microsoft and General Electric. Over the past seven years, revenue has increased more than sevenfold.

It is expected to reach $ 400 million by 2018 and is expected to grow an average of 40% over the next few years.

Smith's brother company is a true phenomenon in the corporate scene of Utah. Ryan founded the company in 2002 with Scott Smith, a marketing professor at Brigham Young University. The idea at the beginning was to use software by academics and colleagues.

Later, business grew and Qualtrics gained the first enterprise customers. After a while, Brother Jared joins the team and leaves Google as a product manager. In 2012, Ryan Smith refused to bid $ 500 million for the company.

Qualtrics also develops an active charitable business. She sponsors the NBA Utah Jazz team. However, instead of the Qualtrics logo, the team's athletes wear a charity logo to battle cancer 5 when fighting.

Smith's interest remained accurate even after Smith's father fought a dangerous disease.

By the time this deal was settled, Smith included NASDAQ's stake in SAP's plan, which would raise about $ 500 million. But German software conglomerates bid about 75% higher than QualTRics' expected market cap.

This is the largest acquisition in SAP history since the acquisition of Concur Technologies for $ 7.2 billion in 2014.

The two brothers will continue to manage the business as part of the SAP group. The company's headquarters will also remain in Provo, Utah.

Ryan Smith is known to talk about his country's potential and his development opportunities.

"We need more people to live here, and we have all the necessary conditions to make Utah a major technology center.

Source link