Microsoft to buy GitHub for $7.5 billion

MIcrosoft buy GitHub

The tech giant is buying GitHub for $7.5 billion, it announced Monday.

Profits from GitHub will be reported under Microsoft's Intelligent Cloud division in financial reports. Together, the two companies will empower developers to achieve more at every stage of the development lifecycle, accelerate enterprise use of GitHub, and bring Microsoft's developer tools and services to new audiences.

As of March 2018, GitHub claimed there were 28 million developers in its community, and 85 million code repositories, and with Microsoft's renewed focus on software and services, many people expected this move.

GitHub is the google docs for developers, which allows them to collaborate and share work with each other easily.

After a couple of days of rumors and speculations, Microsoft has officially announced that it's acquiring GitHub for $7.5 billion.

GitHub's co-founder and current CEO, Chris Wanstrath, will join Microsoft as a technical fellow to work on software initiatives.

Microsoft is acquiring GitHub because it's a flawless fit for its own ambitions to be the go-to platform for every developer, and every developer need, no matter the platform. Thus GitHub has made a decision to join up with Microsoft, rather than going public.

In the cryptocurrency world, GitHub plays a major role as it is the platform where the cryptocurrencies launch their TestNets; a mock version of their MainNets before the launch. In fact, just a year ago, Microsoft shut down CodePlex, which is like GitHub although it launched back in 2006.

The acquisition reflects Microsoft's "ongoing pivot to open-source software, seeking to further broaden its large and growing development community", said Richard Lane, an analyst at Moody's Investors Service. GitHub is a hugely popular code-repository company, hosting 27 million software developers working on 80 million repositories of code.

Microsoft says that it will retain GitHub's status as an "open platform", being free to use for open source projects and agnostic towards programming languages as well as development tools. One developer told Quartz he was concerned that Microsoft would use its ownership of the platform to monitor trends in software development in order to launch rival products, using largesse to preclude competition.

GitHub has been struggling to replace Chris Wanstrath since he stepped down from his role as CEO almost a year ago.

Related news:

Hot News