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US investigates Zoom’s $ 14.7 billion Five9 transaction, citing national security

Washington, DC: The U.S. Department of Justice has followed a $ 14.7 billion deal with cloud call center company Five9 “to determine if this application poses a risk to the interests of U.S. national security or law enforcement agencies.” We are investigating Zoom, a video conference company.

In an August submission to the Federal Communications Commission, the Justice Department believes that “such risks may be caused by foreign participation (including foreign relations and ownership) associated with the application. “.

The Justice Department did not identify what the foreign relations of concern were, and a spokesperson refused to answer the question on Tuesday.

Zoom says purchasing California-based Five 9 San Ramon will accelerate its growth and gain access to more business clients.

Zoom said in an email statement that it hopes to receive the necessary regulatory approvals and close the Five 9 deal in the first half of 2022.

Zoom said in a regulatory filing in late August that he was cooperating with an ongoing investigation by New York and California prosecutors who sent a subpoena to exchanges with the Chinese government last summer.

Last year, Zoom noted that it blocked an online conference related to Beijing’s 1989 Tiananmen Square incident and temporarily suspended the accounts of three U.S. or Hong Kong-based activists at the request of the Chinese government. I collected it. After that, the company said, “We do not allow requests from the Chinese government to affect anyone outside mainland China.”

In recent years, controversies over trade, technology, cybersecurity and human rights have heightened tensions between Washington and Beijing.

US investigates Zoom’s $ 14.7 billion Five9 transaction, citing national security

Source link US investigates Zoom’s $ 14.7 billion Five9 transaction, citing national security

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