Chris Wanstrath, Github CEO and co-founder talks about Microsoft’s acquisition

Chris Wanstrath, Github CEO and co-founder talks about Microsoft’s acquisition

Chris Wanstrath, Github CEO and co-founder talks about Microsoft’s acquisition

According to Microsoft's news release, the site boasts more than 28 million users, who share their code and tinker with that of others in software development.

Favoured by independent and tech giant software developers alike, the two companies will accelerate enterprise use of Github and hope to bring Microsoft's own developer tools and services to new audiences.

After some backlash from developers, Microsoft is now assuring investors that GitHub will remain the same open source platform and will operate "independently to provide an open platform for all developers in all industries".

GitHub's tools have become essential to software developers, who use it to store code, keep track of updates and discuss issues.

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Talks of the deal were first reported by Business Insider late last week in a report that noted GitHub's recent reluctance to sell itself to another company; GitHub was previously valued at $2 billion in 2015.

All should be done by "the end of the calendar year", and Microsoft is delighted to further build on its "developer-focused" foundation to "empower every developer to build, innovate and solve the world's most pressing challenges". However, this potential partnership has since evolved into a possible acquisition, though the source claimed that GitHub's asking price "was more than Microsoft now wanted to pay". But a US$5 billion price tag would certainly make GitHub one of the larger purchases in Microsoft's portfolio. Once the acquisition closes "later this year", Nat Friedman, the founder of Xamarin, will take over as CEO of Github and will report to Microsoft Cloud + AI Group executive vice president Scott Guthrie. And as CNBC points out, data from GitHub could also help Microsoft better its artificial intelligence capabilities.

Nadella said the GitHub acquisition demonstrates Microsoft's "commitment to developer freedom, openness and innovation". "We will always listen to developer feedback and invest in both fundamentals and new capabilities". It is unclear whether talks are still ongoing, but this person said that GitHub's price for a full acquisition was more than Microsoft now wanted to pay.

Moody's analyst Richard Lane said the deal reflects Microsoft's "ongoing pivot to open source software, seeking to further broaden its large and growing development community".

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