Tesla CEO Elon Musk struck a deal on Monday to buy social media giant Twitter for $44 billion. In a statement released on the microblogging platform, the world’s richest man stated that he wants to make Twitter “better than ever”.
As the news about Musk’s takeover of Twitter dominates the headlines, let’s take a look at mergers and acquisitions in the tech sector that shook the world:
Yahoo buys Tumblr ($1.1 billion):
In 2013, Yahoo bought social media platform Tumblr for $1.1 billion. However, six years later, the blogging social network was sold to the owner of WordPress for an undisclosed amount, according to reports.
Microsoft buys Yammer ($1.2 billion):
Social media platform Yammer was purchased by Microsoft for $1.2 billion in 2012. The platform is now part of Microsoft 365 enterprise suite and is only accessible to business users who have access to a Microsoft 365 Enterprise plan.
Twitter buys Vine ($970 million):
The social media giant acquired the short video making website for $970 million in 2012. According to A TechCrunch report, the platform became the number 1 app on the iTunes app store six months after it was acquired by Twitter. At one point, Vine boasted of over 200 million active users. However, the platform soon declined due to stiff competition from other social media platforms.
It was shut down by Twitter in 2016.
Facebook buys WhatsApp ($19 billion):
The social media giant acquired messaging service Whatsapp for a sum of $19 billion in 2014. According to a Reuters report, the company paid WhatsApp $12 billion in stock, $4 billion in cash and $3billion in restricted stock that vests over several years.
The messaging app is still owned by the social media giant.
Facebook buys Instagram ($1 billion):
Facebook (now Meta) bought the photo and video sharing platform for $ 1 billion. An email exchange between Facebook founder Mark Zuckerberg and former Chief financial Officer David Ebersman revealed that the company was acquired as it was seen as a ‘threat’. Instagram is part of Meta, Facebook’s parent company.
Google buys YouTube ($1.65 billion):
Google purchased YouTube way back in 2006. The video sharing platform is one of the most popular social media applications now and remains one of the most visited websites.
Google buys Fitbit for $2.1 billion:
Google bought Fitbit for $2.1 billion in an all-cash deal in 2019. According to TechCrunch, the move was part of Google’s entry into the wearables sector, which was dominated by rival Apple.
Apple buys Beats by Dre ($3 billion):
Apple acquired Beats Electronics (maker of popular headphones) and subscription streaming music service Beats Music for $3 billion, including $400 million in restricted stock. Beats co-founders Jimmy Iovine and Dr. Dre also joined Apple, according to a press release by the company.
Google buys Nest ($3.2 billion):
Google purchased Nest in 2014 for $3.2 billion in cash. The acquisition of the smart thermostat maker was part of Google’s efforts to boost its own range of smart devices.
Microsoft buys Nokia ($7.2 billion):
Microsoft bought Nokia’s phone business in 2013. But the $7.2 billion deal failed and two years later, the company wrote off the business and cut down several thousand jobs.
PayPal buys Honey ($4 billion):
The payments company brought the online shopping deal service for $4 billion in 2019. This remains Paypal’s biggest acquisition to date.
Microsoft buys GitHub ($7.5 billion):
Github, the open-source software development and code hosting platform was acquired by Microsoft in 2018. The deal, which cost $7.5 billion, was made by Microsoft to “strengthen our commitment to developer freedom, openness and innovation,” according to a press release.
Microsoft buys Skype ($8.5 billion):
Microsoft bought Skype for $8.5 billion back in 2011. The video conferencing platform saw a huge rise in users after the start of the COVID-19 pandemic, before it was overshadowed by the popularity of Zoom.
Microsoft buys LinkedIn ($26.2 billion):
Microsoft also bought LinkedIn for an all-cash deal in 2016 for $196 per share. The $26.2 billion deal saw the tech giant acquire one of the biggest professional networking and job search websites.