Listen Labs, a startup specializing in AI-driven customer research, has reportedly abandoned a signed term sheet for a $125 million Series C funding round. The deal, which would have valued the company at $1.5 billion, was set to be led by Menlo Ventures.
The cancellation of the financing round is linked to ongoing acquisition discussions with Salesforce. Reports suggest that the CRM provider has held talks to purchase Listen Labs for approximately $2 billion. These negotiations remain ongoing and are not yet finalized.
Founded in 2023 by Florian Jungermann and Alfred Wahlforss, the startup generates $30 million in annualized revenue. Its platform automates customer interviews and market research, serving clients such as Microsoft, Canva, Anthropic, and Sweetgreen.
The company previously secured a $69 million Series B round in late January, which valued it at $500 million. Investors in that round included Ribbit Capital, Sequoia, Conviction, and Pear VC. Should the Salesforce deal fail, analysts expect Listen Labs to seek a valuation of at least $2 billion.
