Zoom’s Nearly $15 Billion Deal for Five9 Under U.S. Government Review Over China Ties

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Zoom’s Nearly $15 Billion Deal for Five9 Under U.S. Government Review Over China Ties
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The U.S. is reviewing Zoom’s deal to buy American software company Five9, citing potential national-security risks posed by the videoconferencing giant’s ties to China

A Justice Department-led panel is investigating Zoom Video Communications Inc.’s deal, citing potential national-security risks posed by the U.S. videoconferencing giant’s China ties.

The department said the interagency committee—known as Team Telecom—needed to review a license application that arose from the San Jose, Calif.-based company’s nearly $15 billion deal to buy Five9 Inc. to see if it “poses a risk to the national security or law enforcement interests” of the U.S., on the Federal Communications Commission website. The department said there could be a risk from “the foreign relationships and ownership” associated with the application.

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