In it’s huge move into enterprise social media services, Microsoft has just announced that it is acquiring the social network for professionals LinkedIn, for $26 billion or $196 per share. It’s already approved by both boards and LinkedIn’s CEO Jeff Weiner will report to Satya Nadella.
“Just as we have changed the way the world connects to opportunity, this relationship with Microsoft, and the combination of their cloud and LinkedIn‘s network, now gives us a chance to also change the way the world works,” according to CEO Jeff Weiner. “For the last 13 years, we’ve been uniquely positioned to connect professionals to make them more productive and successful, and I’m looking forward to leading our team through the next chapter of our story.”
LinkedIn will keep its branding, and it will become a part of Microsoft’s productivity and business processes segment.
It’s a win-win situation for both parties. Microsoft will be extending its enterprise for more services with a new social networking services and professional platform –while on the other side, it will give LinkedIn bigger reach and potential developments on Microsoft’s large software ecosystem.
LinkedIn’s recent problems with user, revenue growth, and a subsequent dropping share price have just been void by this acquisition and more likely secure a new stronger future to close the gap on it’s competitions.