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Popular Coding Q&A Site Stack Overflow Raises $85 Million To Double Down On Teams Software Business

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Stack Overflow’s new CEO has fresh funding from GIC, Silver Lake and existing VCs to focus on its SaaS tools in pursuit of an eventual IPO.

With the funding, Stack Overflow plans to focus more on another part of its business: a software-as-a-service version of its tooling popular with companies going through digital transformations. That product, Stack Overflow for Teams, was announced in 2018 and works as a private version of the Stack Overflow site, providing internal communication and documentation that makes it function like an internal repository for sensitive company knowledge.

Teams is currently used by thousands of companies, including startup Zapier and corporations Bloomberg and Microsoft, Stack Overflow says, and has doubled its revenue each year since its launch. The startup forecasts that Teams will account for about one third of its overall revenue in 2020; Stack Overflow says annual recurring revenue for the product is expected to reach $27 million this year.

 

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