The longstanding competition between Microsoft and its team service and the use of the same name by Slack continued this morning. Redmond announced what it calls its first "global" advertising print for its corporate communications service.
Slack, A new technology IPO that exploded and generated huge revenue in the last half of the last decade while digging into the tech stacks of the startup world. The success of the previous startup continued as it increasingly targeted larger companies. It's easier to stack earnings in corporate chunks than by onboarding upstarts.
Enterprise productivity software naturally accounts for a large percentage of Microsoft's bread and butter. And when Slack rose ̵
Slack and teams compete through public announcements. Most recently, the teams announced that there are 20 million active users (DAUs) per day. Slack's latest number is 12 million. However, Slack has advertised how active his DAUs are, which means that it is not entirely certain whether Microsoft's numbers match those of Microsoft. However, the widening gap between their numbers is remarkable.
Microsoft's new ad campaign is another chapter in the current edition of "Slack vs. Teams". The ad push itself is only so important. More importantly, Microsoft is choosing to use part of its limited public attention bandwidth for teams rather than other options.
While Teams is only part of the larger Office 365 world that Microsoft has been building for some time, Slack's product is his business. And since its direct listing, some of the air has come out of its stocks.
Slack's share price fell from the mid-1930s after having descended to the low 20s today. I examined this revaluation and found that, far from the public markets that reject Slack's stock, the company had only one wrong valuation in its early trading life. The company's revenue multiplier has dropped since the first few days as a public company, but remains plentiful. Investors continue to rate Slack as an outstanding company.
Ahead, Slack and Microsoft will continue to trade competing DAU numbers. The question arises to what extent Slack's brand can compete with Microsoft's corporate strength.