Salesforce Slashes Software Prices for U.S. Government by 90%

Generated by AI AgentWord on the Street
Tuesday, May 20, 2025 1:16 am ET1min read

Salesforce, a leading enterprise software company, has announced a significant price reduction for its software offerings to the U.S. government, following the lead of

and Google. This initiative is part of a broader effort by the U.S. General Services Administration (GSA) to make enterprise software more affordable for federal agencies.

The GSA announced that

will offer its Slack Enterprise Grid software to every federal agency at a 90% discounted rate, while the Slack AI for Enterprise service will be provided at a nearly 70% discount. These price reductions are temporary and will last until November 30. The GSA's Federal Procurement Service Commissioner, Josh Gruenbaum, welcomed Salesforce's collaboration, stating that the GSA is committed to being a good partner for the private sector through the OneGov program. This program aims to provide the best tools for the government and the best value for taxpayers.

Dave Rey, a high-ranking executive at Salesforce, emphasized that Slack will help government agencies transform their operations by providing a secure, FedRAMP-authorized work operating system. This system will accelerate decision-making and unify various agencies, leveraging Salesforce's robust ecosystem, data workflows, and AI agents to enhance productivity and deliver citizen-centric results more precisely and swiftly.

This move by Salesforce is part of a broader trend where major tech companies are temporarily lowering their software prices for government agencies. Adobe and Google have recently made similar announcements, indicating a growing competition among tech giants to secure government contracts and expand their market share in the public sector. The GSA's efforts to negotiate lower prices for enterprise software are expected to result in significant cost savings for federal agencies, enabling them to allocate resources more effectively.

Salesforce's decision to reduce its software prices for the U.S. government demonstrates the company's dedication to supporting public sector initiatives. By making its software more accessible and affordable, Salesforce is positioning itself as a key partner for government agencies looking to leverage technology for improved service delivery and operational efficiency. This strategic move is likely to strengthen Salesforce's presence in the government market and enhance its reputation as a reliable provider of enterprise software solutions.

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