Microsoft Acquisitions

Microsoft has acquired over 225 companies since 1986. Some notable acquisitions include LinkedIn, GitHub, ZeniMax Media, Nokia’s mobile and devices division, Yammer, Mojang, and Activision Blizzard.

Microsoft has also purchased stakes in companies such as Comcast, Telewest, and AT&T. The company acquired more than ten companies a year between 2005 and 2008, with 18 firms acquired in 2006, the most in a single year.

Microsoft has made 14 acquisitions worth over $1 billion each, including Nuance Communications in 2021 and Activision Blizzard in 2022.

Here’s a list of 10 Microsoft acquisitions:

1. Nuance Communications Inc.
2. GitHub
3. FSLogix
4. Softomotive
5. ZeniMax Media
6. Nokia’s mobile and devices division
7. Yammer
8. Mojang
9. Activision Blizzard (currently facing antitrust scrutiny)
10. AT&T Network Cloud technology (a stake in the company, not an outright acquisition)

In terms of technology and industries, Microsoft has diversified into many areas, with significant acquisitions in the video game industry with the Xbox line of consoles, in consumer electronics with Zune and Surface, and in digital services with MSN and the Windows Phone OS.

Among its major acquisitions were Visio Corporation, which added diagramming and flowchart capabilities to Microsoft Office, and Skype, which brought a voice over internet protocol (VoIP) platform to the company.

In recent years, Microsoft has also focused on cloud computing, with notable acquisitions like GitHub, a popular code-hosting platform used by many developers, and Affirmed Networks, a company that specialized in virtualized mobile networks.

Microsoft has not released financial details for most of its mergers and acquisitions, although it has made some divestments, such as when it sold off Expedia Group for over $1 billion to USA Networks in 2002.

Microsoft’s acquisitions have helped the company grow and diversify over the years, and they continue to be a key part of its strategy for expanding into new markets.

Key Principles behind Microsoft Acquisitions

When Microsoft acquires other companies, it typically aims to enhance its existing products and services or expand into new markets. The company’s acquisition strategy has evolved over the years, with a greater focus on cloud computing and artificial intelligence technologies in recent years.

Microsoft’s approach to acquisitions is generally based on a few key principles:

1. Synergy: Microsoft seeks to acquire companies that can add value to its existing products and services or complement its existing capabilities.

2. Innovation: Microsoft looks for companies with innovative technologies or intellectual property that can help it stay competitive in fast-moving markets.

3. Market Expansion: Microsoft seeks to expand into new markets or industries through acquisitions.

4. Talent: Microsoft sometimes acquires companies for their talented employees or their management teams.

Overall, Microsoft is strategic in its acquisitions, carefully selecting target companies that align with its business goals and will help drive its growth and success over the long term.