Tech-Internet M&A and Investment Database

Be kept informed of the latest tech deals. Get up-to-the-minute analysis about the day’s most interesting fundings and exits. Internet DealBook is a database that tracks the latest angel, VC, private-equity investment and M&A activities across Internet- and technology-related private companies all around the world.

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The Grooves of Microsoft

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In July of 2015, Microsoft announced it would change the name of its Xbox Music app to Groove Music. The move created a lot of confusion because there was already another music app available on iOS named Groove Smart Music Player made by Montreal-based company Zikera. To exacerbate the confusion, there was also a third company called Groove Networks. The company was acquired by Microsoft in 2005 from its founder Ray Ozzie, the creator of IBM’s Lotus Notes application, and Microsoft later changed the name to Microsoft Sharepoint Workspace. Microsoft finally solved the branding dilemma by acquiring Groove Smart Music Player and its associated domain name from Zikera. Analysts have concluded the deal was all about the name so that Microsoft could avert any legal issues relating to the use of Groove.

You can read about the acquisition here.

A very big deal

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This week, Cisco announced its acquisition of Jasper Technologies for $1.4 billion. Jasper, also known as a Fortune unicorn, is a leader in the IoT service platform market. With Jasper, businesses can embed connectivity into industrial devices, enterprise smartphones and tablets, as well as consumer electronics. The connectivity allows businesses to deliver a wide range of IoT services and unlock new revenue. The company counts Coca-Cola, GE, Nissan, AT&T, Telefonica and Starbucks as some its clients. The acquisition complements Cisco’s IoT strategy perfectly. The deal allows Jasper to expand its technology to a much larger scale while giving Cisco an excellent head start into the IoT market, which is predicted to be worth $6.2 trillion by 2025. Analysts consider this deal to be a brilliant move and it will help solidify the company’s position in the growing IoT industry.

It’s all about data

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IBM’s recent acquisition of the The Weather Company has left everyone scratching their heads. Why would IBM, one of the world’s largest computer companies, acquire a company that forecasts the weather? The answer is data. According to IBM, the deal will further strengthen its bid to become a data-based company. The Weather Company’s rich data cloud platform, which handles over 20 billion requests per day, will bolster IBM’s data services and Watson’s Internet of Things. With these technologies combined, IBM is now able to collect even larger volumes of data sets from billions of IoT sensors around the world and provide intelligent, real-time information to millions of its customers worldwide. This means companies in industries most affected by weather will be able to link their business data using their connected devices with Watson’s weather data. IBM will then be able to provide these companies with deep, multimodal insights to help them make smarter business decisions.

Video is the new king

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In case you haven’t noticed, video content is slowly but surely dominating the internet and the way we consume online content. According to Cisco’s latest white paper on global internet provider traffic forecasts, 80% of the world’s entire online traffic will be video by 2019. As online video grows, so will the investments in the sector. In 2015, traditional media giant NBCUniversal invested $200 million each in BuzzFeed and Vox Media to amp up its video content, while CNN and Food Network are trying to reach millennials by leveraging on Snapchat’s Discover feature. This week, IBM bought Ustream, a video streaming website. With the acquisition, IBM will bolster its existing portfolio of video services and hopefully expand its revenue growth, which has been declining steadily over the last several years.