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Microsoft Buys GitHub For $7.5 Billion, Used By Amazon, Google & Apple

Microsoft has purchased popular coding website, GitHub, in a US$7.5 billion all-stock deal. Founded in 2008, GitHub allows software developers to host and review code, and reportedly counts Amazon, Google and Apple amongst customers.

Based in San Francisco, the startup boasts an audience of 27 million software developers globally.

GitHub is free for open-source projects, however, some companies pay a monthly fee to access private code libraries plus other services.

It’s the second largest acquisition Microsoft has made under CEO Satya Nadella, trumped by LinkedIn for US$26.2 billion.

The deal is claimed to strengthen Microsoft’s presence in cloud computing and open source software.

Some commentators predict Microsoft may integrate GitHub into its Azure cloud service.

Microsoft formerly ran a competitor to GitHub – called Codeplex – which it axed in December.

According to Axios, GitHub faced multiple acquisition offers, including one from Google.

“Developers are the builders of this new era, writing the world’s code. And GitHub is their home,” Microsoft’s Nadella remarked in a blog post.

“We are committed to being stewards of the GitHub community, which will retain its developer-first ethos, operate independently and remain an open platform”

‘We will always listen to developer feedback and invest in both fundamentals and new capabilities.”

Microsoft VP, Nat Friedman, will be appointed GitHub CEO, with current CEO and Founder, Chris Wanstrath to become a Microsoft technical fellow.

The news of GitHub’s acquisition saw shares in Microsoft climbing 0.4% on Monday.

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