The Latest from the Talent Tech Industry
December 14-19, 2020: iCIMS makes another acquisition – this time it’s Altru, ZipRecruiter appears to be getting ready for an IPO, HeadHunter Group in Russia acquires Zarplata.ru, EU goes after Big Tech in a big way, HBS prof says 9-to-5 is out & 3-2-2 is in, Ateam acquire recruitment agency comparison site Links in Japan, and forget driverless cars – AI is now in the co-pilot’s seat. Ho, hum – here we go again.
iCIMS acquires video recruiting startup Altru for $60M
Enterprise recruiting company iCIMS announced that it has acquired Altru. iCIMS declined to comment on the terms of the deal, but a source with knowledge of the companies told us that the price is a combination of cash and stock, totaling around $60 million. Founded in 2000, iCIMS offers a “talent cloud” used by more than 4,000 employers attract, engage and hire new employees, and to help existing employees continue to develop their careers. Former Marketo chief executive Steve Lucas became CEO in February, and he told me that that the recruiting world is overdue for reinvention. After all, every company says they want to hire the most talented people around, so he wondered, “Well, okay, if you want that, why do you create such boring content? Why do you take a job that is exciting and should demand amazing human beings and create this super boring job description?” Lucas sees video as a key piece of the solution, allowing companies to bring more “authenticity” to what can be a stuffy and bureaucratic process. Just over a month ago, iCIMS announced another acquisition in this area — Paris-based Easyrecrue.
Exclusive-Job website ZipRecruiter hires banks for IPO -sources
U.S. online job marketplace ZipRecruiter Inc has hired Goldman Sachs Group Inc and JPMorgan Chase & Co to lead preparations for an initial public offering (IPO), people familiar with the matter said on Thursday 12/10. The move shows how ZipRecruiter is keen to tap the red-hot IPO market for technology startups, even as the economic fallout from the COVID-19 pandemic took a toll on its job posting business. Though postings have rebounded somewhat, wide distribution of vaccines that would bring many businesses back to normal is still several months away. ZipRecruiter is eying a valuation of between $3 billion and $5 billion in the IPO, which could come in the first half of 2021, the sources said, cautioning that the valuation and timing are subject to market conditions. It was valued at $1.5 billion in a fundraising round in 2018.
HeadHunter Group PLC Signs Agreement to Acquire LLC Zarplata.ru
HeadHunter Group PLC (Nasdaq: HHR, MOEX: HHRU) announced that it has entered into a sale and purchase agreement to acquire LLC Zarplata.ru, an online recruitment platform operating in Russia. On November 24, 2020, HeadHunter entered into a sale and purchase agreement to acquire 100% of the issued charter capital of LLC Zarplata.ru from Hearst Shkulev Digital Regional Network B.V. for a total purchase price of ₽3.5 billion in cash subject to customary price adjustments at closing as well as limited post-closing escrow arrangements. The Federal Antimonopoly Service of Russia has approved the Acquisition and completion is expected to occur by the end of January 2021, subject to customary closing conditions.
EU Going After Big Tech in a Big Way
The EU’s proposed Digital Markets Act aims to level the playing field for apps in the EU. What does this mean? The ability to uninstall bundled apps from big tech that are native to your devices. On its face, this sounds OK. If you want to uninstall Safari or Mail on your iPhone, no one should care. However, these rules go further, requiring the sharing of all data (for free) with third parties, as well as more “level the playing field” ideas from some clearly non-technical legislators. The EU’s competition chief, Margrethe Vestager, said the goal is “to make sure that we, as users, have access to a wide choice of safe products and services online. And that businesses operating in Europe can freely and fairly compete online just as they do offline.” Nothing I’ve read so far makes me think that this regulation is going to have the desired effect. In practice, I think the EU is going to create an uncontrollable mess. We’ll see.
In 2021, the 9-to-5 Will Become the ‘3-2-2,’ a Harvard Business School Professor Predicts
Thanks to the fantastic news that distribution of vaccines has begun, the end of the pandemic is in sight. Changes wrought by Covid-19 are nowhere near playing themselves out, however. Bill Gates is betting we’ll socialize differently long after the pandemic is over. Real estate analysts are puzzling over which cities will be newly hot now that so many people are free to move wherever they want. And data crunchers are highlighting an uptick in four-day workweeks. But according to one Harvard professor, the biggest long-term shift may be the numbers that govern our traditional working hours. At many offices, after the pandemic it will be out with the old 9-to-5 and in with the 3-2-2.
Ateam : Notice Concerning Stock Acquisition of Links Inc.
Ateam Inc. is a provider of mobile content and websites based in Nagoya, Japan. Its Lifestyle Support Business engages in the planning, development and operation of various online services that allow users to gather and compare information for daily use. To that end, Ateam announced that its Board of Directors has approved the acquisition of 100% of the shares of Links Inc., a company that operates a recruitment agency comparison website called Career Picks. It allows users who are considering a career change to compare several different recruitment agencies at once, with a goal to ‘assist people to make the best career change’.
[Forget driverless cars] U-2 Flies with Artificial Intelligence as Its Co-Pilot
One of the Air Force’s oldest planes became the first military aircraft to fly with artificial intelligence as its copilot on Dec. 15. A U-2 from Beale Air Force Base, Calif., flew with an AI algorithm that controlled the Dragon Lady’s sensors and tactical navigation during a local training sortie. The algorithm, developed by Air Combat Command’s U-2 Federal Laboratory and named ARTUµ in a reference to the droid that serves as a copilot in the Star Wars film franchise, took over tasks normally handled by the pilot, in turn letting the flier focus on the flying. “ARTUµ’s groundbreaking flight culminates our three-year journey to becoming a digital force,” said Will Roper, the Air Force’s assistant secretary of acquisition, in a release. “Putting AI safely in command of a U.S. military system for the first time ushers in a new age of human-machine teaming and algorithmic competition. Failing to realize AI’s full potential will mean ceding decision advantage to our adversaries.”