The recent rumors that were floating around claiming that Microsoft acquired GitHub turned out to be accurate. Microsoft was reportedly not too happy about the offer, as GitHub was asking $5 billion, but Bloomberg reported that the two companies finally reached an agreement.
GitHub team was impressed by Microsoft’s CEO
Back in 2015, GitHub was valued at $2 billion, and the company generates $200 million in subscription revenue, and this includes $110 million coming from enterprise users. Lately, the company was not profitable anymore, and it even lost $66 million over three quarters in 2016.
GitHub was CEO-less for about ten months, and the team was impressed with Microsoft’s CEO Satya Nadella. For the moment, Redmond is the most significant open-source contributor on GitHub.
GitHub is an essential tool for coders
Lots of corporations including Microsoft and Google have been using GitHub to store their corporate code and to collaborate as well. This is also a social network for developers.
Microsoft is a developer-first company, and by joining forces with GitHub we strengthen our commitment to developer freedom, openness, and innovation. We recognize the community response we take on with this agreement and will do our best work to empower every developer to build, innovate and solve the world’s most pressing challenges.
Microsoft will use open-source GitHub code in future projects
Lots of voices from Redmond defended the company’s commitment to GitHub and its principles even before the deal was sealed. The tech giant also said that GitHub would retain its developer-first ethos and it will operate independently to offer an open platform for all developers in all industries. The developers will continue to use the programming languages, tools and Oss that they prefer for their projects.
I don’t think people understand how many of us at Microsoft love GitHub to the bottom of our hearts. If anybody decided to mess with that community, there would be a riot to say the least
— Mat Velloso (@matvelloso) June 4, 2018
Microsoft plans to leverage GitHub within its extensive business strategy, and this could see the tech giant build much stringer bridges between GitHub and Azure, the company’s cloud hosting service and also its massive array of software and collaboration products.
Microsoft ingested massive companies before, and one of the best examples is LinkedIn which is another area where the company might explore synergies.
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