By Salesforce CRM shares fell on Tuesday after the software company announced an agreement to acquire artificial intelligence call-centre startup Cresta, extending a series of acquisitions aimed at strengthening its AI capabilities.
The stock declined around 1.65% to $222.45, making it one of the weakest performers in the Dow Jones Industrial Average.
The latest announcement comes as investors question whether Salesforce’s growing acquisition spending will deliver sufficient returns amid concerns about AI disruption across the software industry.
Salesforce did not disclose the financial terms of the Cresta transaction.
The deal is expected to close in the first quarter of fiscal 2028, which runs from February to April 2027, subject to customary closing conditions, including regulatory approvals.
The company’s shares have fallen around 12% this year, compared with a 3.76% decline in the iShares Expanded Tech-Software Sector ETF.
Salesforce expands its AI acquisition strategy
Cresta provides a voice-first operating system for customer experience, including AI agents designed to handle complex, high-volume customer calls.
Salesforce said the acquisition would strengthen its Agentforce and Service Cloud offerings by bringing customer interactions, conversations and outcomes together.
Kishan Chetan, executive vice president and general manager of Agentforce and Service Cloud at Salesforce, said voice interactions were among the most challenging areas of customer service.
He added that Cresta had developed voice agents capable of handling complex calls for some of the world’s largest brands.
The acquisition follows several other deals as Salesforce seeks to expand its AI capabilities across its software business.
In late October, the company agreed to acquire marketing software provider Braze in an all-cash transaction valued at approximately $5.7 billion.
It also agreed to acquire AI-powered analytics platform Loops last month.
Earlier acquisitions included the purchase of AI customer-service provider Fin for $3.6 billion, announced in June, and an agreement to acquire data management company Informatica for approximately $8 billion in May 2025.
The Informatica deal was intended to strengthen the data infrastructure supporting Salesforce’s AI products.
Acquisition spending raises questions on Wall Street
The growing number of transactions has not yet convinced all investors that Salesforce’s acquisition strategy is the right approach.
Some of the premiums paid for companies as Salesforce builds its AI portfolio have raised concerns on Wall Street.
The Cresta announcement came as the stock was on track to record its fourth consecutive session of losses.
Salesforce has pointed to acquisitions as a contributor to its revenue outlook.
In its fiscal second-quarter earnings report, the company forecast fiscal 2027 revenue growth of 11% to 12%, with Informatica expected to contribute slightly more than three percentage points.
The company also raised its full-year revenue forecast by $200 million, partly reflecting expected contributions from pending acquisitions, including Contentful and Fin.
However, the share-price performance suggests investors remain cautious about the scale and timing of the benefits from these transactions.
AI disruption adds to pressure on software stocks
Salesforce’s acquisition strategy is unfolding against a difficult backdrop for software companies.
The so-called SaaSpocalypse, referring to concerns that artificial intelligence could disrupt traditional software business models, has weighed on investor sentiment across the sector.
That uncertainty may be making it harder for Salesforce to gain market support, even as it invests in companies designed to strengthen its AI offerings.
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