Sunday, 16 December, 2018

Microsoft’s $7.5BN GitHub buy gets green-lit by European Union regulators

EU approves Microsoft’s GitHub acquisition Pull request accepted: You want to buy GitHub, Microsoft? Go for it – EU
Priscilla Morrison | 21 October, 2018, 17:11

Microsoft's upcoming $7.5 billion acquisition of GitHub has cleared another major hurdle: the European Union has approved the deal after determining that there are no antitrust concerns in Microsoft buying the popular open-source software repository, via the Financial Times.

Microsoft has been trying to snag GitHub for some time now, and the two tech companies seemed to reach a final purchase agreement back in June.

The EU's rather complimentary approval comes just a few days ahead of Microsoft's latest quarterly earnings report where we can be sure to hear of early plans incorporating the purchase into one of many business sectors the company reports on.

The Commission found that the combination of Microsoft and GitHub's activities on these markets would raise no competition concerns because the merged entity would continue to face significant competition from other players on both markets.

More news: Danish Kaneria admits role in spot-fixing case involving Mervyn Westfield

The Commission also touched on fears that Microsoft may try to exert control over GitHub's open nature, twisting the platform to sell its own DevOps tools and cloud services.

Satya Nadella, CEO of Microsoft, mentioned the following as the three things we can expect from Microsoft's acquisition of GitHub. Going forward, GitHub will remain an open platform, which any developer can plug into and extend.

Microsoft is a global technology company based in the U.S. active in the design, development and supply of computer software, hardware devices and related services, cloud-based solutions, online advertising, recruiting and professional social network services.

The Commission decided Microsoft would have no incentive to undermine the GitHub's openness - saying any attempt to do so would reduce its value for developers, who the Commission judged as willing and able to switch to other platforms.

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