Microsoft to buy LinkedIn in 'coming days'

Arvind Hickman
By Arvind Hickman | 7 December 2016
 

Microsoft's $26.2 billion acquisition of LinkedIn could be closed in a matter of days after being rubber stamped by the European Commission, the last regulatory hurdle.

LinkedIn reported 467 million members in Q3 and is widely regarded as the premier social network for businesses and professionals. It is also widely used as a recruitment tool and represents a credible entry point for Microsoft into the social media sector.

To smooth a passage for the deal, Microsoft has offered the European competition authorities commitments that it will not disadvantage other social media networks, Microsoft president and chief legal officer Brad Smith said in a blog.

These include ensuring the Office Add-in program continues to be made available to other social networks to integrate their services into Outlook, Word, PowerPowint and Excel.

It will also continue to make “promotional opportunities in the Office Store available to third-party professional social networking services”.

Users will be given the flexibility of whether they would like to display LinkedIn in their Office experience while PC manufacturers in the European Economic Area can choose to not to install LinkedIn on Windows.

The approval in Brussels follows similar reviews and clearances in the United States, Canada, Brazil and South Africa. Smith said he expects the deal to close in the "coming days".

“With this regulatory process behind us, we can bring together two great companies and focus on even broader issues for the future. The events of the past six months make not just this business opportunity, but the broader societal issues connected to them, more important,” Smith said.

Following Brexit and the US election of Donald Trump, Smith said that on both sides of the Atlantic, “it has become increasingly apparent that many people feel left out and unable to participate in the economic growth and opportunities created by the rising digital economy.

“While technology tools are not a panacea for current economic challenges, we believe they can make an important contribution...Our ambition is to do our part to create more opportunity for people who haven’t shared in recent economic growth.”

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