Today, Microsoft has confirmed the rumors that started surfacing last week regarding it’s acquisition of GitHub. In an all-stock transaction of $7.5 billion, Microsoft is going back to its core roots with this purchase by bringing the focus back on developers.

Launched 10 years ago in April, GitHub is currently used by more than 27 million developers, many are in the games industry. With an active community, there are now over 85 million code repositories that developers collaborate with and share. GitHub is already used by over 1.8 million organizations, including IBM, Google, Facebook and Microsoft. After the acquisition Microsoft plans is to keep the platform open while adding more support more enterprise users.

Don’t forget, it wasn’t that long ago, just back in December 2016 that Microsoft acquired LinkedIn for $26 billion, And before that LinkedIn acquired, with its +4 million users in April 2015 for $1.5 billion specifically for its online training which comprised over 5,700 classes and 277,000 video tutorials for digital artists. Today has become the hub for LinkedIn Learning, a site that has a growing number of tutorials focused on enterprise and games creation, specifically Unity and Unreal tutorials. Bridging these tutorials with the GitHub combination makes for a strong combination. Combined, LinkedIn and GitHub represent the largest developer ecosystem, LinkedIn has 500 million users, GitHub 28 million developers and +4 million digital media users.

Even still, it will be interesting to see what happens once Microsoft starts promoting it’s Windows tools and Xbox on developers, not sure how “neutral” the platform will remain. The other tool used by developers is Perforce,  last year acquired Hansoft, an agile planning tool used by many game developers. We’ll be following what developers do, if they stay on GitHub or perhaps decide to migrate over to Perforce.

Below is the Microsoft post announcing the acquisition:

Microsoft + GitHub = Empowering Developers

Chris Wanstrath (left), Github CEO; Satya Nadella, Microsoft CEO; and Nat Friedman, Nat Friedman, Microsoft corporate vice president, Developer Services

The era of the intelligent cloud and intelligent edge is upon us. Computing is becoming embedded in the world, with every part of our daily life and work and every aspect of our society and economy being transformed by digital technology.

Developers are the builders of this new era, writing the world’s code. And GitHub is their home.

As every industry – from precision medicine to precision agriculture, from personalized education to personalized banking – is being impacted by technology, the developer community will only grow in numbers and importance. Developer workflows will drive and influence business processes and functions across the organization – from marketing, sales and service, to IT and HR. And value creation and growth across every industry will increasingly be determined by the choices developers make.

In short, developers will be at the center of solving the world’s most pressing challenges. However, the real power comes when every developer can create together, collaborate, share code and build on each other’s work. In all walks of life, we see the power of communities, and this is true for software development and developers.

That is why we are so excited about today’s announcement. More than 28 million developers already collaborate on GitHub, and it is home to more than 85 million code repositories used by people in nearly every country. From the largest corporations to the smallest startups, GitHub is the destination for developers to learn, share and work together to create software. It’s a destination for Microsoft too. We are the most active organization on GitHub, with more than 2 million “commits,” or updates, made to projects.

Microsoft has been a developer-focused company from the very first product we created to the platforms and tools we offer today. Building technology so that others can build technology is core to our mission to empower every person and every organization on the planet to achieve more.

Chris Wanstrath (left), Github CEO and co-founder; Nat Friedman, Microsoft corporate vice president, Developer Services; Satya Nadella, Microsoft CEO; and Amy Hood, Microsoft Chief Financial Officer.

Microsoft is also committed to empowering communities, from the world’s professionals to IT professionals to gamers. We believe in the power of communities to achieve much more than what their members can do on their own. It’s our ability to work together that helps our dreams become reality, and we are dedicated to cultivating and growing communities to do just that.

And Microsoft is all-in on open source. We have been on a journey with open source, and today we are active in the open source ecosystem, we contribute to open source projects, and some of our most vibrant developer tools and frameworks are open source. When it comes to our commitment to open source, judge us by the actions we have taken in the recent past, our actions today, and in the future.

Given all of this, together with GitHub, we see three clear opportunities ahead.

  1. First, we will empower developers at every stage of the development lifecycle – from ideation to collaboration to deployment to the cloud. Going forward, GitHub will remain an open platform, which any developer can plug into and extend. Developers will continue to be able to use the programming languages, tools and operating systems of their choice for their projects – and will still be able to deploy their code on any cloud and any device.
  2. Second, we will accelerate enterprise developers’ use of GitHub, with our direct sales and partner channels and access to Microsoft’s global cloud infrastructure and services.
  3. Finally, we will bring Microsoft’s developer tools and services to new audiences.

Most importantly, we recognize the responsibility we take on with this agreement. We are committed to being stewards of the GitHub community, which will retain its developer-first ethos, operate independently and remain an open platform. We will always listen to developer feedback and invest in both fundamentals and new capabilities.

Once the acquisition closes later this year, GitHub will be led by CEO Nat Friedman, an open source veteran and founder of Xamarin, who will continue to report to Microsoft Cloud + AI Group Executive Vice President Scott Guthrie; GitHub CEO and Co-Founder Chris Wanstrath will be a technical fellow at Microsoft, also reporting to Scott. You can see how Chris, Nat and I envision the opportunity ahead in this public presentation.

Together we will continue to advance GitHub as a platform loved by developers and trusted by organizations.