Microsoft is going to buy LinkedIn for AU$35.4 billion (US$26.2 billion). However, LinkedIn will continue with its unique brand, culture and freedom.
Jeff Weiner will remain as CEO of LinkedIn and he is going to report to Microsoft CEO Satya Nadella. The transaction has been completely supported by the chairman of the board, co-founder and controlling shareholder of LinkedIn, Reid Hoffman and CEO Jeff Weiner. The deal will be concluded in this year, reported Microsoft.
The reason behind the transaction is not very clear except the fact that LinkedIn owns the best professional social database and Microsoft has some of the most widely used office software, stated Recode.
Nadella while announcing the transaction to his staff said, “This deal brings together the world’s leading professional cloud with the world’s leading professional network… this is the biggest acquisition for Microsoft since I became CEO.”
He noted, “Think about it: How people find jobs, build skills, sell, market and get work done and ultimately find success requires a connected professional world. It requires a vibrant network that brings together a professional’s information in LinkedIn’s public network with the information in Office 365 and Dynamics.”
Jeff Weiner in his announcement speech to his staff said, “For LinkedIn, it was to connect the world’s professionals to make them more productive and successful, and for Microsoft it was to empower every individual and organization in the world to achieve more…combining these assets would be unique and had the potential to unlock some enormous opportunities.”
LinkedIn is the largest and most popular professional network and is growing in terms of business. The launch of its mobile app has prompted into an increase in its member engagement. It has also enhanced its newsfeed to deliver better business ideas. The company has also acquired a learning platform called Lynda.com.
The collaboration will help in many ways. One such development will be opportunities for business-minded products for sales, recruiting and training.