• Microsoft has confirmed the rumors that it will acquire GitHub for $7.5 billion.
  • The web-based repository of open-source software projects first launched in 2008 and has over 28 million users.
  • The all-stock deal is expected to close by the end of 2018.


Microsoft has confirmed that it plans to purchase the developer-focused GitHub website and service for $7.5 billion. Rumors of Microsoft’s acquisition first leaked out late on Friday, and those stories added that the privately owned GitHub’s was last valued at just $2 billion.

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Launched in April 2008, GitHub has since become a huge site for software developers to upload and share their code and projects, especially when it comes to uploading open-source projects. In its official announcement, Microsoft stated that once its purchase is completed, GitHub will still “operate independently” and developers will also be allowed to keep using the same code, tools and operating systems for all of their projects that are uploaded to the service.

In his own press announcement, Microsoft CEO Satya Nadella stated that the company wants to boost the use of GitHub for enterprise-based developers “with [its] direct sales and partner channels and access to Microsoft’s global cloud infrastructure and services.” He also said this deal will help expand the use of Microsoft’s own tools and services to more developers.

It sounds very much like Microsoft is trying to make a new push for developers to use its tools and services, including its cloud systems, with this purchase of GitHub.

Microsoft is expected to close the deal to acquire GitHub by the end of the calendar year 2018. When the all-stock deal does close, its Corporate Vice President Nat Friedman will become its new CEO. Friedman was previously the founder of Xamarin, the software tools company that Microsoft bought in 2016. GitHub’s current CEO, Chris Wanstrath, will stay will Microsoft, serving as a “technical fellow” and will work on strategic software initiatives.