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Salesforce: Salesforce to buy defense tech firm Rune in military business push
- Business software maker Salesforce said on Thursday it would buy defense technology company Rune Technologies to expand its Missionforce business, which serves the US military and government agencies. Rune makes AI-powered software that helps troops forecast supply needs, plan the use of
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Salesforce Buys Rune Technologies and Expands its AI offering
The software giant announced the acquisition of AI tools developer Rune Technologies on Thursday. Beyond strengthening its ties with the military, Salesforce is acquiring AI solutions to offset falling demand for traditional software. The software publisher announced the acquisition of Rune
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Salesforce to buy defense tech firm Rune in military business push
Oct 29 (Reuters) - Business software maker Salesforce said on Thursday it would buy defense technology company Rune Technologies to expand its Missionforce business, which serves the US military and government agencies. Rune makes AI-powered software that helps troops forecast supply needs, plan
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Salesforce announced the acquisition of defense tech firm Rune Technologies to expand its Missionforce business serving the US military and government agencies. The AI-powered software helps troops forecast supply needs and plan resource deployment, even in disconnected environments. This marks Salesforce's latest move to broaden its AI offerings amid investor concerns about traditional software demand.
Salesforce announced its acquisition of defense tech firm Rune Technologies to expand its Missionforce business, which serves the US military and government agencies
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. While financial terms remain undisclosed, the deal signals the enterprise software giant's commitment to deepening its military business push through AI-powered software solutions2
. The transaction is expected to close in the fourth quarter of Salesforce's fiscal year 20273
.Rune Technologies develops AI software that helps troops forecast supply needs, plan resource deployment, and make critical decisions about where to send supplies, including in places with little or no network connection
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. The US Army and Marine Corps already use Rune's technology for military logistics operations3
. This capability to operate in disconnected environments addresses a critical need for military operations in remote or contested areas where network connectivity is unreliable.Source: Market Screener
The Salesforce acquisition comes as the company's Missionforce business demonstrates remarkable momentum. Just one year after launch, the defense-focused division is growing 80% year-over-year, with customers across all six branches of the US military
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. This growth rate positions Salesforce as a serious contender in the defense technology sector, competing for contracts that traditionally went to specialized military contractors.The addition of Rune Technologies brings proven AI-powered software already deployed by multiple military branches, reducing integration risks and accelerating Salesforce's ability to serve government agencies with mission-critical resource planning tools
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. The acquisition strengthens Salesforce's position to compete for larger defense contracts requiring sophisticated supply forecasting capabilities.This military business push forms part of Salesforce's broader strategy to expand its AI offerings through acquisitions as investor concerns mount about AI adoption eroding demand for traditional software
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. The company has embarked on an aggressive acquisition spree, purchasing AI marketing software maker Braze for approximately $5.66 billion last week, signing a $3.6 billion deal for AI agent platform Fin earlier this year, and completing an $8 billion deal for Informatica last year3
.This rapid succession of deals reflects what industry observers describe as a race among enterprise software providers to avoid obsolescence. ServiceNow, another enterprise software company, has similarly acquired German Raytion, AI-powered task mining technologies UltimateSuite in 2024, and Israeli AI startup Sweep in September
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. These acquisitions illustrate how AI is becoming integral to the DNA of traditional enterprise software models, fundamentally transforming business operations.Related Stories
The Rune Technologies acquisition matters because it demonstrates how commercial software giants are penetrating defense markets with AI capabilities that address specific military challenges. Supply forecasting and resource planning in disconnected environments represent critical operational needs that AI-powered software can solve more effectively than legacy systems. Watch for increased competition between traditional defense contractors and commercial tech companies for military contracts, potentially accelerating AI adoption across government agencies.
Short-term, Salesforce gains immediate access to existing military relationships and proven technology deployed by the US Army and Marine Corps. Long-term implications suggest a shift in how the US military procures technology, potentially favoring commercial AI solutions over custom-built defense systems. Industry speculation points toward Salesforce leveraging Rune's capabilities to expand into other government verticals beyond military applications, using defense credentials to win civilian agency contracts. Readers should monitor whether this military business push delivers the growth needed to offset potential erosion in traditional software revenue as AI reshapes the enterprise software landscape.
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