Microsoft to buy LinkedIn for $26.2 Billion

Microsoft Corp. agreed to buy LinkedIn Corp for $26.2 Billion in its biggest ever deal, combining the software giant fast growing cloud service business with an online network of 433 million professionals. The offer of $196 per share represents a premium of 49.5% to LinkedIn Friday closing price.

Microsoft plans to speed-up monetization of LinkedIn by growing individual and organization subscriptions as well as targeted advertising. Despite the rich premium paid by Microsoft, LinkedIn is selling for well below its peak of more than $270 per share in 2015, but a weak forecast earlier this year sent its shares tumbling and slowing online ad revenue. LinkedIn went public in 2011 at $45.

LinkedIn is the world’s largest and most valuable professional network and continues to build a strong and growing business. Over the past year, the company has launched a new version of its mobile app that has led to increased member engagement, enhanced the LinkedIn newsfeed to deliver better business insights, acquired a leading online learning platform called Lynda.com to enter a new market and rolled out a new version of its recruiter product to its enterprise customers. 

Freshdesk buys start-up Airwoot

Customer support software maker Freshdesk Inc. has acquired Airwoot, which help companies spot customer queries and complaints on social media that require urgent attention. Customer support on social channels is key for digital businesses and using platforms like Airwoot enables them to predict conversations that may go viral and take action.

Delivering customer support via Social media continues to be a challenge for many companies given the high volume of noise in the medium. Airwoot AI technology provides a powerful platform to power the social engagement centres of the future. Airwoot used by firms such as Snapdeal, Xiaomi Corp., Ola, Paytm, Grofers, Jet Airways, MakeMyTrip and Cleartrip.com will continue as a standalone product.

For Freshdesk, one of India’s most well-funded product start-ups, Airwoot from Memeticlabs Technologies Pvt. Ltd is the fifth acquisition in nine months. Last April, Freshdesk raised $50 Million from investors Tiger Global Management, Accel Partners and Google Capital, bringing its total funding to $90 Million. The company has been successfully integrating start-ups it bought, into its own product portfolio.

In February, Freshdesk rolled out a new product, Hotline.io, its third since its launch in 2011. Hotline.io was built on the back of its December acquisition of Konotor, which helps businesses chat with their consumer inside apps. Previously, Freshdesk has acquired Framebench, a file collaboration platform in February, Frilp, a social recommendation app in October and 1CLICK.io, a video chat platform in August.

Simplilearn acquired Market Motive

Bangalore based Simplilearn solutions Pvt. Ltd., the company behind online education and training destination for professional certification courses Simplilearn.com has acquired Silicon Valley based Digital Marketing Training firm Market Motive for $10 Million (Rs 62 crore). It will also help the company make further inroads in the US market.

The deal augments Simplilearn offerings in the booming digital marketing field with courses in social media marketing, digital advertising, web analytics, and marketing automation. Simplilearn, which raised $15 Million in its third round of funding in April to expand its reach in the US, trained more than 400,000 people and offers 250 courses from advanced cloud computing to Six Sigma and Big Data on its site.

With this acquisition, its offerings will include training and certification in digital marketing with courses web analytics and mobile marketing. California based Market Motive will continue to operate as an independent part of Simplilearn. Market Motive specializes in SEO, web analytics, social media marketing, conversion optimization, mobile marketing, PPC advertising, and content marketing.

In April, Simplilearn had secured $15 Million in series C funding by early stage investor Mayfield, with participation from existing investors Kalaari Capital and Helion Venture Partners. It had also secured $10 Million in a series B round of funding in September 2013 from Helion Venture partners and Kalaari Capital. In August 2012, it had bagged around $2 Million in Series A funding from Kalaari Capital.

Dentsu Aegis acquires WATConsult

Dentsu Inc. is an International advertising and public relations company whose headquarters are located in the Dentsu Building in the Shiodome district of Minato, Tokyo. The Company origins as a media representative producing the first newspaper advertisements and the first television commercials in Japan. The company now offers a range of services, from traditional and creative marketing to specialty disciplines such as sports marketing, digital contents, PR, and a growing range of communication services.

Dentsu reached an agreement with the principal shareholder of Mumbai based WATConsult, a digital agency, to acquire a 90% stake in the company, which will ultimately be increased in steps to 100%. WATConsult will become part of Isobar, one of the Dentsu Group’s global network brands, and will be referred to as WATConsult linked by Isobar.

WATConsult, founded in 2007 as a Social Media agency, has developed into a digital agency offering services such as digital creative, digital media planning and buying, development of campaigns that utilize social and digital media, production of digital media applications and digital video, and online reputation management. Its clients include Godrej, Tata, Bajaj, Mahindra, SAP, and Nikon. WATConsult employs more than 160 people across the Mumbai, Delhi, Bengaluru, and Kolkata and has annual revenue of nearly Rs. 30 Crore.

A wholly owned subsidiary of Dentsu Inc, the Dentsu India Group comprises three standalone full service-advertising agencies – Dentsu Communications, Dentsu Marcom, and Dentsu Creative Impact as well as Dentsu Media and Dentsu Digital. Tokyo based Dentsu Inc has a presence in 24 countries across five continents. In 2012, it acquired 51 percent stake in Mumbai based advertising agency Taproot India Communication Pvt Ltd for an undisclosed sum.

Companies Social Media Strategies

With increase in use of Social Media Platforms, Companies are shifting their focus towards Social Media and engaging with their customers and employees. In PepsiCo, the company launched a responsiveness survey through which all teams are related on responsiveness every two months and the feedback is related to organization verbatim. Under this, the CEO shares his observations experiences, thoughts with employees in a weekly letter.

To get real time opinions from the ground, Vodafone has its own People Survey Engagement Index and Management Index. Through ‘My Voice’, the company collects feedback from new joiners on recruitment, compensation, performance management, training, and engagement. “Employees make suggestions to the cross-functional senior management team in the forum captioned ‘Voice of Customer’. The company also runs the website Idea Space to encourage employees to share suggestions and ideas. A survey tool called ‘Qualtrix’ helps in gathering internal employee voices for short-term initiatives.

Over the past one year, through gaining feedback with employees from a mix of informal coffee corner sessions and frequent leadership meets, Philips has revamped some of its policies, like launching their own internal retail portal of discounted Philips products for staff. The company has also tried to engage employees in groups through discussions on important business plans before notifying them on emails.

An internal radio channel called InfyRadio serves a twin purpose of keeping employees informed about activities within the organization and ensures they are motivated. Tools like ‘My Voice’ provide executives with a simple online platform to log enquiries or grievances within built tracking and escalation for monitoring and follow up. ‘YES Connect’ provides YES bankers a platform to bond with colleagues and share best practices. Organizations who listen to their employees and are transparent, create trustworthy relationships that breed loyalty.