Zoom launches $100m fund to invest in startups that use its technology

Video conferencing giant, Zoom, has announced that it is launching a $100 million Zoom Apps fund to invest in companies that build apps using its technology. It is also the company’s 10th year anniversary and the company says the Zoom Apps Fund is one of its commitment to supporting developer partners and stimulating growth of its ecosystem of Zoom Apps, integrations, and hardware to create new and engaging experiences for its customers. 

The company is one of the companies that has benefitted from the COVID-19 induced lockdown where companies had to rely on conferencing platforms to continue doing business.

Revenues have grown geometrically from $330 million in 2019 to $2 billion in 2021. (Note: *Zoom’s fiscal year ends on January 31. For example, fiscal year 2020 refers to the fiscal year ending January 31, 2020.). As at April 2020, the company announced that it had over 300 million daily users.

According to Zoom CFO, Kelly Steckelberg in his discussion with Reuters, the fund will between $250k and $2.5 million in companies building “Zoom Apps” that plug into the company’s video conferencing software to add new features to it.

Steckelberg said the video conferencing company wants to encourage developers to create new functions like digital white boards for sketching ideas. She also said that the fund will also be open to companies such as telemedicine app providers or conference room hardware makers that want to tap Zoom’s cloud-based video systems.

She also said the fund will be run from Zoom’s balance sheet, rather than as a standalone venture capital entity, and will not seek to take board seats in the companies it invests in.

“This will really help invest in developers at early stages and get early market traction,” she told Reuters in an interview. “It’s definitely on the lines of being a strategic investor.”

What Zoom is looking for

Zoom said in a blog, that the company has got a vision to help people accomplish more through video communications, and they are looking for companies that share that vision. So the new Zoom Apps Fund should aspire to invest thoughtfully in teams that are committed to building new and positive experiences for our customers.

So if you’re passionate about creating products and integrations that provide value to Zoom’s customers, helping them communicate more easily, meet happier, and be more productive, the company want to hear from you.

Zoom is looking for companies with a viable product and early market traction, and a commitment to developing on and investing in the Zoom ecosystem.

If this sounds like you, you are encouraged to visit zoom.com/fund for more information and to apply.