According to a report from earlier today, it was reported that Microsoft is interested in acquiring GitHub. Now in a new report from Bloomberg, it seems that Microsoft might have already acquired GitHub and that the deal is expected to be officially announced this coming Monday.
The report claims that their sources told them that GitHub had preferred being acquired and bought out rather than going public. It also claims that one of the reasons why they decided to go with Microsoft was because they were “impressed” with Microsoft’s CEO Satya Nadella, although exactly why is unclear.
GitHub has reportedly been struggling to make a profit despite it being hugely popular amongst developers, and this acquisition could be what it needs as it basically has access to Microsoft’s resources. It is also beneficial to Microsoft, who as Bloomberg points out, has been increasing their reliance on open-source software, which GitHub is known to house. It could also be used to encourage developers to develop for Microsoft’s platform, while Microsoft could use its resources to create tools that help with development.
The terms of the agreement are unclear and it is not mentioned as to how much this acquisition could cost, but in 2015 GitHub was said to be valued at $2 billion, so presumably we’re looking at a figure roughly around there.
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