Microsoft, ‘the world’s leading professional cloud’, is set to acquire Linkedin, ‘the world’s leading professional network’, for a whopping $26.2 billion.
The company said Linkedin will continue to operate as a separate company, with Jeff Weiner remaining CEO of LinkedIn, reporting to Microsoft CEO Satya Nadella. Microsoft isn’t going to ruin the company like it did with Nokia, but instead, it’s taking the Facebook approach of buy then let it go on its way.
The company, in recent years, has acquired numerous companies including calendar app Sunrise and to-do-list app Wunderlist. It’s also important to note Microsoft purchased business-focused social network Yammer in 2012. The purchase didn’t provide any value to the company and is widely seen as a failed purchase.
It’s unlikely Linkedin will become known as a failed investment for Microsoft. Instead, it may become one of Microsoft’s smartest moves. The company is beefing up its productivity offering for businesses and students, with the introduction of improved Outlook, Microsoft Planner, and Office 360. Linkedin gives Microsoft access to business data and an engaging platform with millions of professionals which can make purchasing decisions at their companies. If and when Microsoft leverages this platform is unclear, but in the video above they clearly highlight they’re both business focused.
Tell us in the comments below what you think about the purchase, and if you believe that this is going to be the downfall of Linkedin.