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Monday 13 June 2016

The reason why Microsoft acquired LinkedIn

Microsoft acquired LinkedIn for 26.2 Billion dollars. This is the largest acquisition in Microsoft since Satya Nadella took control of the firm in 2014. As an explanation, they say that the purpose of the acquisition is to accelerate "the growth of LinkedIn as well as Microsoft Office 365 Dynamics".

How Microsoft Office and Dynamics they will benefit from this acquisition?

There is no doubt that the LinkedIn database, which has 433 million users on its professional social network, could be an important information mine for Microsoft. However, this is not just limited to the address book. In a letter sent to its employees and made ​​public, Satya Nadella explained that this marriage is the "leader of the professional cloud with the professional network number one."

microsoft acquired linkedin for 26.2 billion dollars
Image Credits: Fossbytes.com

Microsoft's cloud business is Office 365, we all know, and Dynamics, the customer relationship management solution that the Redmond company offers businesses. Satya Nadella said Microsoft employees that once the acquisition of LinkedIn will be completed, it counts connect these services to the social network.

"Over the past decade, we Office, which was a suite of productivity tools, a cloud service available on all platforms and all devices, writes the Microsoft boss. This purchase is the next step for Office 365 and Dynamics as they connect to the largest and most valuable professional network."  In another paragraph, Satya Nadella even cites an example.


In it, he explains that the combination of Microsoft tools with LinkedIn will allow for example to develop an intelligent flow of information from the professional network, which will display articles related to the content that the user is working. And to go further, or Office Dynamics could also suggest experts in a specific field, from the LinkedIn database.

"As and when these experiences become intelligent and charming, commitment LinkedIn and Office 365 will increase, says Satya Nadella. And from there, new opportunities for monetization will be created through subscriptions and private organizations as well as through targeted advertising." While it is reported that LinkedIn will retain its " brand, culture and independence ", Microsoft product integrations are planned.
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