Facebook acquires Israeli chatbot startup Servicefriend for Libra customer service
Israeli chatbot startup Servicefriend has been acquired by Facebook Inc. to help it provide customer service for its forthcoming Libra cryptocurrency and related Calibra digital wallet service.
The news was first reported Saturday by TechCrunch. Facebook neither confirmed nor denied the acquisition, saying in a canned statement reminiscent of Apple Inc. that “we acquire smaller tech companies from time to time” and that “we don’t always discuss our plans.”
But several people at the company, including both co-founders, have changed their LinkedIn profiles to indicate that they’re now working for Facebook, pretty much confirming the acquisition did take place.
On its website, Servicefriend confirmed that it had been acquired without stating upfront that Facebook was the buyer. “We are thrilled to share that Servicefriend is now moving to the next chapter of our exciting journey,” the statement read. At the bottom of the statement was a link simply titled, “see what Facebook has to say about us,” that took users through to a case study of the company working with Facebook.
Founded in 2015, Tel Aviv-based Servicefriend has built a range of customer service bot-related products and solutions including customer service, async messaging orchestration, a 24/7 self-service concierge service and various others.
“Servicefriend ensures unparalleled efficiency,” the company claims. “Our experience shows that enterprises using Servicefriend needed to invest only 18.3 agent hours for every 1,000 interactions (about 6,500 incoming messages). This is about 70% more efficient than the best-of-breed traditional approaches, and is the lowest-cost way to guarantee a consistently outstanding experience for all customers all the time.”
The price of the acquisition and how much Servicefriend raised before being acquired are unknown. Crunchbase records that Servicefriend raised “non-equity assistance” from Microsoft Scaleup Tel Aviv in February 2016 but does not include the amount raised.
The news comes as Facebook revealed Friday that it had suspended tens of thousands of apps as part of an ongoing privacy investigation following its Cambridge Analytica scandal.
Ime Archibong, Facebook’s vice president of product partnerships, said in a post that the suspended apps were associated with about 400 developers and that though some were suspended, others were completely banned. “That can happen for any number of reasons including inappropriately sharing data obtained from us, making data publicly available without protecting people’s identity or something else that was in clear violation of our policies,” Archibong wrote.
Image: Servicefriend
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