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Microsoft snaps up code sharing site GitHub

(Image credit: Microsoft)

UPDATED: Microsoft looks set to move further into the developer world after acquiring code sharing site GitHub in a $7.5 billion deal.

GitHub is a code hosting powerhouse online, hosting 27 million software developers, as well as 80 million repositories of code. It is being used by the world's biggest companies. Apple, Amazon and Google are just some of the companies hosting their projects on GitHub. 

"Microsoft is a developer-first company, and by joining forces with GitHub we strengthen our commitment to developer freedom, openness and innovation," said Satya Nadella, CEO, Microsoft. "We recognise the community responsibility we take on with this agreement and will do our best work to empower every developer to build, innovate and solve the world's most pressing challenges."

Microsoft is also a large contributor to the site, with The Verge saying more than of its employees are 'actively pushing code to repositories on GitHub'.

It was also said that the San Francisco-based company chose Microsoft partly because of Satya Nadella, Microsoft's CEO. The all-stock deal is set to be closed by the end of the year, with GitHub operating independently following the completion.

Microsoft Corporate Vice President Nat Friedman, will assume the role of GitHub CEO, with current incumbent Chris Wanstrath, becoming a Microsoft technical fellow where he will work on "strategic software initiatives".

"I'm extremely proud of what GitHub and our community have accomplished over the past decade, and I can't wait to see what lies ahead. The future of software development is bright, and I'm thrilled to be joining forces with Microsoft to help make it a reality," Wanstrath said. 

"Their focus on developers lines up perfectly with our own, and their scale, tools and global cloud will play a huge role in making GitHub even more valuable for developers everywhere."

Last August, GitHub announced it was looking for a new CEO. Microsoft has been in talks with the company on multiple occasions, always looking for some form of partnership.

In 2016, GitHub lost $66 million in three quarters, but reported a revenue of $98 million for the same period.

Image Credit: StockStudio / Shutterstock

Mike Moore is Deputy Editor at TechRadar Pro, and has worked as a B2B and B2C tech journalist for nearly a decade, including at one of the UK's leading national newspapers and ITProPortal.