• Salesforce.com Inc (NYSE:CRM) is grappling with a sales-growth slowdown and a wave of high-level departures at MuleSoft, Bloomberg reports.
  • The software maker acquired the company for $5.67 billion in 2018.
  • MuleSoft, which helps customers connect their software across the internet, sells the most complicated product at Salesforce, making the exit of veteran engineering and sales managers all the more difficult to overcome. 
  • Since Salesforce acquired MuleSoft, annual sales have jumped to $1.5 billion from $284 million. However, in the three months through October 31, the unit’s revenue increased 16% to $356 million, down from a year-over-year growth rate of 39% the prior quarter.
  • While some analysts are bullish on Salesforce’s ability to fix the problems in the next few months, others caution that it may take much longer. 
  • When Salesforce absorbed MuleSoft’s recruitment unit, it imposed the protocols that made it more challenging to hire the talent necessary to sell and oversee MuleSoft’s technology.
  • The competitive landscape is also getting more demanding. Smaller rivals like Workato Inc are gaining traction, while perennial competitors like Microsoft Corp (NASDAQ: MSFT) also loom. 
  • Price Action: CRM shares traded higher by 0.28% at $265.05 on the last check Friday.