The merging of two largest players on the market, Yandex and Uber, made us compile a small list of other large deals between the tech giants in 2016-2017.
Microsoft and LinkedIn
In December of 2016 Microsoft has acquired LinkedIn for $26,2 million, and it’s one of the largest deals as of late. Microsoft has taken control not only of the professional social media, but also of the publishing service SlideShade and educational platform Lynda.com. The company has also acquired two important tools — Talent Solutions and Marketing Solutions, both of which provided LinkedIn with noticeable income.
According to Microsoft CEO Satya Nadella, the main reason for acquisition was to “help Microsoft in the CRM space”. 430-million registered users on LinkedIn is another important factor. The user data can be integrated with Microsoft cloud service.
This acquisition was quite unexpected yet beneficial for both parties, as LinkedIn gained resources to grow further, while Microsoft acquired a professional and perspective service. Many experts reckoned that the acquisition price was too high because it exceeded the social network’s price of shares by 50%.
Qualcomm and NXP
Qualcomm’s acquisition of car microchip provider company NXP took place in October of 2016, and hit records with their deal value of $47 billion. By doing so, Qualcomm hopes to change their profile by designing chips not only for smartphones but for cars as well. The reason is that while mobile devices market’s growth haltered, more and more companies develop smart cars capable of analyzing huge amounts of data and functioning without a driver.
NXP also has a big client base of more than 25,000, which allows Qualcomm to sell their developments to a wider audience. There are many other big players on the market, such as Nvidia, Intel and Mobileye NV, and this deal has strengthened Qualcomm’s position significantly.
Verizon and Yahoo!
A deal between telecommunications conglomerate Verizon and Yahoo! took place in June of 2017. Verizon paid $4,48 billion for Yahoo!, later renamed to Altaba Inc. However, Altaba Inc was allowed to have 15% shares and rights to some of the patents.
The acquisition was planned for the first quarter of 2017 but it had to be delayed due to hackers who stole the data of 1,5 billion Yahoo! users. New Altaba Inc had changes in management, and the previous CEO Marissa Mayer had to go. It was also reported that Verizon would cut 2000 jobs after merging.
Oracle and NetSuite
Business software developer Oracle has acquired NetSuite for $9,3 billion in July of 2016. Oracle strives to develop cloud technologies, and it acquires lesser players in order to get on the market. This allows Oracle to complete with cloud giants, such as Microsoft and Amazon.
Oracle is not planning to have any dramatic shifts in NetSuite whose CRM and ERP systems are in demand, and they expect their investments to bring income soon. Earlier Oracle acquired Opower Inc. and Textura Corp., cloud software providers for service utilities and constructions. Their last big deal was the acquisition of Micros Systems Inc., a company that creates cash registers with internet connection, for $5,3 billion.