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Microsoft + LinkedIn: What Can We Expect

In case you missed the news last week, Microsoft is acquiring LinkedIn in a $26.2 billion deal. You might wonder why Microsoft chose to buy LinkedIn, or why LinkedIn was on the market. You may also wonder how this will affect your social media marketing, and whether or not this is a good or bad idea. Here’s what you need to know.

The Details
Rumors of this deal started in April, stating that LinkedIn stock was beginning to dwindle. Because of their lack of social media presence, Microsoft was interested in gaining access to a fruitful platform with a rich database of business users. It is important to note that LinkedIn has more than 433 million members, about 105 million of which are active monthly users, and 2 million are paid subscribers.
Last week, the announcement of the deal was made. The CEO of LinkedIn, Jeff Weiner, would remain in position under Microsoft CEO Satya Nadella. The deal is still pending final approvals and reviews, but should close by the end of the year.

Why Sell LinkedIn?
CEO Jeff Weiner sent a company-wide email explaining the process. Basically, Nadella approached Weiner with the idea, stating that they must agree on purpose and structure. As the two discussed the possibilities, they found that they essentially had the same vision and goals, but were attacking it from different angles. They believe that combining their efforts could potentially open doors for new opportunities.

Good or Bad?

Some may argue that this was a smart move, as this will put the Microsoft name in front of billions of users. Because the commonalities among the companies and their customers, it is likely that will complement each other nicely. On the other hand, others believe that Microsoft overpaid for a platform that seems somewhat trivial for them.

To some, this acquisition is a great opportunity for LinkedIn to grow at a faster rate while still retaining its brand and independence. Others believed LinkedIn had much more potential to grow on their own. All in all, we will have to see what comes of this merger.

Affect On Marketers
It would seem that marketers could greatly benefit from this deal. As Microsoft and LinkedIn work together to help people improve productivity, skills, and connections, marketers should find that they will be able to reach and target customers with the emergence of tailored news feeds and more. However, the skeptics remain, wondering if this deal will eventually pull LinkedIn down and under.

How do you think this acquisition will pan out? Share your thoughts with us in Facebook, Google+, Twitter, Pinterest, and now, LinkedIn!

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