Software giant Microsoft is making another huge acquisition this week. The latest target is the popular web-based code repository platform GitHub, which currently the world’s largest coding platform. Microsoft has acquired the coding platform for $7.5 billion in stock.
GitHub is the software giant’s latest and also its second major acquisition this year, following the $26.2 billion acquisition of the social networking site LinkedIn. The deal, which still subjects to government regulatory approval, is expected to close by the end of this year, the companies announced this week.
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As part of the deal, GitHub will continue to operate independently. Nat Friedman, a former CEO of the mobile developer toolmaker that Microsoft acquired in 2016, has been hired to take the CEO role in GitHub.
Microsoft will likely extend GitHub’s enterprise services and even integrate the coding platform with the software giant’s own sales and partner channels, according to TechCrunch. The software giant plan to use GitHub to bring Microsoft’s developer tools and services to new audiences, the website added.
One important area that Microsoft plans to work on is the GitHub Marketplace. The software giant has already announced plans to offer its developer tools and services in the GitHub Marketplace, extending the software giant’s reach in the marketplace. Microsoft also noted that it free and open source code editor VS Code will get deeply integrate into GitHub support, providing developers a great home where they can use any programming language and operating system.
The GitHub deal is the latest step in Microsoft’s software and developer strategy. The company has been working hard on their open source technology. The company has already open sourced its PowerShell, Microsoft Edge JaveScript engine and Visual Studio Code. It also teamed up with Linux distributor Canonical. The two have entered into a partnership to bring Ubuntu Linux to Microsoft Windows 10 platform. In addition to its Ubuntu partnership, Microsoft also acquired Xamarin to beef up its mobile app development capability.
Microsoft plans to make its Azure platform the best destination for third-party app developers. And GitHub will help the software company achieve that goal, not just with app developers but also with the enterprise world.
Founded in 2008 and based in San Francisco Bay Area, California, GitHub is a web-based code repository platform. It provides distributed revision control and source code management functionality (SCM). It also provides access control and several coding features such as bug tracking, task management, and wikis.
GitHub provides services to both private repositories and free accounts. It’s currently the most used coding platform in the tech world, attracting around 28 million developers and hosting more than 85 million code repositories.
Before its monstrous deal with Microsoft, GitHub has managed to secure around $350 million in total funding. GitHub’s top investors include Sequoia Capital, Andreessen Horowitz, Thrive Capital, SV Angel, and Institutional Venture Partners.