Microsoft will Acquire GitHub for $5 Billion or More
For a long time, there have been rumors that Microsoft intends to acquire the popular code hosting platform GitHub. The latest news, according to Business Insider reported that Microsoft has held talks in the past few weeks to discuss the acquisition of the code hosting platform GitHub matters.
A person familiar with the discussions between the two companies told CNBC that they have been discussing $35 million worth of joint marketing cooperation and that these discussions have evolved into possible investment or direct acquisition phases. It is still unclear whether the negotiations are still going on, but according to sources, the wholly-owned acquisition of GitHub is more expensive than Microsoft currently wants to pay.
GitHub was valued at US$2 billion in the last round of financing in 2015, but according to last year’s development, the current purchase price may reach US$5 billion or more.
If this acquisition can be achieved, Microsoft will greatly benefit, gaining hundreds of millions of developers at GitHub owned by millions of companies can more easily encourage them to use Microsoft’s cloud services and other products.
In addition, GitHub is also a “gold mine” for AI talent, data, and resources, and if it is acquired, it gives Microsoft unrestricted access. Microsoft can also use GitHub’s resources to improve its artificial intelligence products.
For the news, Microsoft currently refuses to comment, and GitHub has not yet issued a reply.