Sonasoft Corp. (OTCQB: SSFT), a leader in innovative eDiscovery and artificial intelligence (AI) solutions, announced [March 13, 2019] that it has jointly signed a definitive purchase agreement to acquire an artificial intelligence (AI) company, Hotify, Inc., and all related interests, assets, and intellectual property.
Hotify is a global artificial intelligence (AI) company that is committed to accelerating the adoption of AI in enterprise solutions with its AI platform, NuGene.
The two companies signed the definitive agreement in less than six weeks following the letter of intent (LOI), which was announced on January 31, 2019. The acquisition is expected to finalize following the audit completion of Hotify’s financial statements.
After the acquisition is completed, Hotify, Inc. will become a separate, wholly owned subsidiary of Sonasoft. Ankur Dinesh Garg will continue to be the CEO of Hotify, Inc. Hotify’s engineering and leadership teams will also remain intact.
The unified companies plan to target integration and expansion in the following areas:
- Hotify adds proven intellectual property (IP) in AI with an existing customer base
- Sonasoft’s eDiscovery and archiving platform, SonaVault, will be further enhanced with Hotify’s AI
- Sonasoft’s knowledge-based discovery solution will be expanded to further gain market share in customer service and tech support success initiatives
- Hotify will develop new AI solutions and products to expand on its current offering
- Hotify will grow through Sonasoft’s existing access to enterprise accounts and marketing initiatives, which is expected to penetrate new verticals and key accounts
- Sonasoft will be able to expand its profitable professional services through the adoption of its AI solutions
- The combined companies will increase shareholder value and could become an attractive target to be acquired by a large player in the artificial intelligence and eDiscovery sectors
This Artificial Intelligence acquisition is aligned with Sonasoft’s focus on aggressively penetrating the AI market with innovative and disruptive technology solutions that enhance or complement the Company’s portfolio. Once the acquisition is completed, Sonasoft’s solid holdings of intellectual property (IP) will be significantly enhanced with Hotify’s proprietary and proven artificial intelligence solution.
Gartner, the world’s leading research and advisory company, forecasts that the value derived from global artificial intelligence business will reach $3.9 trillion in 2022. Organizations that successfully adopt AI into their business model win customers, gain new revenue, and reduce costs. Gartner further predicts that AI is poised to be the most disruptive class of technologies over the next ten years and already recognizes AI as an emerging technology with tremendous potential for growth.
“With the acquisition of Hotify, Sonasoft is poised to be a disruptive competitor in the industry,” said Andy Khanna, Vice Chairman of Sonasoft, who is in charge of mergers, acquisitions, and compliance matters. “Hotify has proven AI technology, and that is why we pursued this acquisition. When combined with Sonasoft’s client and partner portfolio along with our strong sales and marketing engine, we have an incredible opportunity for success. Our existing IP in data archiving and eDiscovery is an initial launching point to fully integrate Hotify’s AI. The synergies will allow us to both enhance our offerings and drive the success of our partner community.”
“This is an important milestone for Hotify and the beginning of a new phase of growth,” said Ankur Dinesh Garg, CEO of Hotify, Inc. “Through this acquisition, we get faster access into the North American market with the ability to generate a much larger impact than if we did it alone. The combined Company will be ready to gain new customers, target high-value large enterprise opportunities, and disrupt the AI market with accelerated innovation.”
Further updates from Sonasoft and its wholly owned subsidiary, Cornerstone Technologies, can be expected shortly.
Hotify is an artificial intelligence (AI) software company. The Company has created NuGene AI Platform, which can develop robust intelligence agents (bots) in minutes. NuGene’s agents can be applied to specific use cases across sectors and industries. These include identifying customer turnover in the retail sector, machine failure risk in manufacturing, sales forecast and demand with Fortune 500 companies, win-lose prediction within Salesforce opportunities, and accurate Q&A results with large online self-help centers.
Hotify has developed thousands of ready-to-use AI components as well as many proprietary algorithms as part of its platform. The Company has worldwide enterprise customers in multiple market segments.
Hotify Inc. was founded in 2018 and is headquartered in Santa Clara, California.
Sonasoft Corporation is a publicly traded corporation and is listed on the OTCQB Markets under the trading symbol SSFT (OTCQB:SSFT). Sonasoft is now an AI-first company. The Company intends to integrate artificial intelligence (AI) into the Company’s core business model, which includes enterprise-class archiving, eDiscovery, and business continuity software solutions for Microsoft Business Applications on Microsoft Windows platforms. Sonasoft’s signature products for eDiscovery tools, which include SonaVault 6.1 Email Archiving and eDiscovery Software, as well as SonaVault Email Archiving Appliances, deliver affordable enterprise-level functionality that exceeds compliance and ease-of-use requirements of large and medium-sized businesses, governments, school districts, organizations, and enterprises. The Company also launched SonaSecure, which protects systems from ransomware and other email-based threats as well as provides email continuity services. In addition, Sonasoft offers data export and migration services for competing email archiving solutions. Sonasoft email archiving and eDiscovery solutions have hundreds of deployments with an exceptionally high degree of customer satisfaction. Founded in 2003, the Company is headquartered in San Jose, California.
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