The Microsoft Corporation (NASDAQ:MSFT) board is back up to 12 members following the appointment of Reid Hoffman, the LinkedIn co-founder. The new move follows the purchase of LinkedIn by Microsoft in June at a cost of $26.2 billion. However, Hoffman’s appointment will not affect any of LinkedIn’s day-to-day operations.
Meanwhile, Microsoft CEO Satya Nadella will continue to refurbish the company’s portfolio to make it more visible in the market. Together with Microsoft co-founder Bill Gates, Nadella says that a Microsoft board seat for Hoffman will widen his opportunities of serving LinkedIn’s long-standing mission.
A lot to envy from Microsoft and LinkedIn’s combination
Acquisitions and buyouts have become the order of the day. That of Microsoft and LinkedIn is no exception. They both have something to gain from each other. Microsoft will access LinkedIn’s professional graph as well as its database while LinkedIn will take advantage of Microsoft’s new resources and technology assets.
Expressing his interests Hoffman wrote, “From this position, I will continue to focus on helping LinkedIn fulfill its mission of increasing the economic productivity of individual professionals and the companies they work for.”
Hoffman says he has the best interest of the two companies at heart
Hoffman’s further roles will include helping Microsoft grow its presence in Silicon Valley while putting together AI and other technologies. He is looking at a scenario where the two organizations would work together. So far, he has noted a number of areas that can integrate the two; for example LinkedIn into Microsoft Outlook and Office products.
Meanwhile, Hoffman will continue being a partner with Greylock Partners. Having been a chairman of the LinkedIn board at one time, he has remained very involved to date. Microsoft, which says its intention is driving LinkedIn’s revenue, has also LinkedIn’s Kevin Scott to take over the roles of a chief technology officer.
All the above developments are a clear indication of how competitive the market has become, hence, the need for competitive personnel that will drive home the companies’ objectives. In the meantime, Microsoft’s stock closed at $64.41 a fall of $0.30 or 0.46%.
