vacancies advertise contact news tip The Vault
facebook rss twitter

Microsoft to acquire LinkedIn for $26.2bn

by Tarinder Sandhu on 13 June 2016, 16:23

Tags: Microsoft (NASDAQ:MSFT), LinkedIn

Quick Link: HEXUS.net/qac3o6

Add to My Vault: x

Microsoft has today announced that it plans to acquire the professional social-networking site LinkedIn for $26.2bn (£18.5bn) in cash, making it, quite comfortably, the largest acquisition for the Redmond-based company.

The all-cash transaction is the first big-money deal made by Microsoft CEO, Satya Nadella, who said: "The LinkedIn team has grown a fantastic business centered on connecting the world’s professionals" and "Together we can accelerate the growth of LinkedIn, as well as Microsoft Office 365 and Dynamics as we seek to empower every person and organization on the planet."

It is likely that this transaction, which is set to be finalised later on this year, will form the cornerstone for Microsoft's go-to strategy for enhancing its social-media position; LinkedIn has over 400m registered users of whom a small percentage pay for premium services. The huge amount of money Microsoft is paying for LinkedIn indicates that Microsoft has thus far failed to properly capitalise on the social-media front.

Though wholly owned by Microsoft, LinkedIn will retain its distinct brand, culture and independence, according to Microsoft. Jeff Weiner will continue to serve as CEO of LinkedIn, though he is to report directly to Nadella once the deal is finalised.



HEXUS Forums :: 9 Comments

Login with Forum Account

Don't have an account? Register today!
Don't you just hate it when everything is acquired by one company?
Office 365 subscription - get LinkedIn Pro free ;)
Thats it, in the words of a Dragon - “Im out”
A website that I don't care about writes an article about a company I care little about buying a company I care nothing about.
Jenny_Y8S
A website that I don't care about writes an article about a company I care little about buying a company I care nothing about.
A website that you don't care about yet feel the urge to view anyway and leave a comment…