Freshworks Inc Acquires AI-Powered Customer Service Tool AnsweriQ

Freshworks Inc., a SaaS customer engagement platform, has announced the acquisition of an AI customer support startup, AnsweriQ for an undisclosed amount. With this acquisition, the startup will help Freshworks' AI engine Freddy in enhancing its operation by providing answers to the customer queries quickly. Besides this, AnsweriQ's CEO, Pradeep Rathinam, has joined Freshworks as a CCO.

Freshworks CEO Girish Mathrubootham mentions AnsweriQ as a leader in the customer service automation space and capacity of handling a large customer base in massive call centers.

Girish said that Freshworks liked AnsweriQ's team, its products, ability, and confidence in going up-market and winning more significant deals. By using the integration of AnsweriQ's technology, Freshworks will enhance its AI and ML capability in customer engagement space. Besides, it will also offer significant value to Freshworks customers.

As of now, AnsweriQ customers who also use Freshworks and competing products can continue to operate the existing products. However, in the future, Freshworks might convert a considerable part of these customers to use Freshworks products. Besides, the company is in a plan to integrate AnsweriQ's technology into its Freddy AI engine whereas, the accurate title for these new capabilities is still unclear, but Girish suggested FreshiQ as an option.

AnsweriQ co-founder Pradeep Rathinam said, the startup has uplifted the same way where he was aiming to see in the next funding round. As their choices were to go out of the box and lift the next funding round and again go down this path or look for an alternative platform on which AnsweriQ can showcase its products and further get quicker customer acquisition and scale the business to hundreds or thousands of clients.

Earlier this acquisition, Freshworks had also acquired Natero, the customer success service. Besides, it has $150 million latest Series H funds, which gives it the privilege of acquiring even more customers. Currently, Freshworks has 2,700 headcounts in 13 offices and it is valued at about $3.5 billion.