Slack raises $200 million USD at $3.8 billion valuation

Slack socks

Slack has raised $200 million USD in funding with a valuation of $3.8 billion, according to a report from VentureBeat.

The round was led by Thrive Capital, with participation from Comcast Ventures, Accel Partners, GGV, Index Ventures, Social Capital, Spark Growth, and other investors. There had been reports in the past that Slack was raising at a $4 billion valuation — those reports said that Slack was looking to raise $150 million.

The news came just a few weeks after Slack celebrated its second anniversary with 2.3 million daily active users.

The company will use the funding to fuel its ambitious plans for the communication platform, including taking on Google Hangouts and Skype with video chat, using machine learning to look at how companies can make sense of large volumes of conversation, and removing friction between different organizations working together.

“As has always been the case, we are taking this opportunity to further secure our leadership position as we continue to execute on our ambitious growth plans. This capital adds to our existing reserves and increases our ability to focus on an uncompromising long-term, strategic view,” CEO Stewart Butterfield said in a statement sent to TechCrunch.

Jessica Galang

Jessica Galang

Jessica Galang is BetaKit's News Editor. Follow her on Twitter @jessicagalangg or send her pitches to jessica.galang@betakit.com.