Google to Purchase Looker for $2.6 billion, Amongst Its Greatest Acquisitions


Google’s plans to bolster its cloud computing enterprise by shopping for information analytics startup Looker for $2.6 billion.

The deal, introduced Thursday, is the most important transfer thus far beneath Google[/f500link] Cloud chief Thomas Kurian. He joined Google earlier this yr to ascertain Google’s cloud unit as a formidable rival in opposition to bigger cloud computing corporations like Amazon and Microsoft.

Analysts have lengthy questioned Google’s means to promote expertise providers to companies. Whereas the corporate has lengthy provided e-mail, phrase processing instruments, and different office software program, it has struggled to take market share from larger enterprise corporations.

The numerous dimension of the most recent deal implies that Google intends to make an even bigger push into the enterprise market, on high of Kurian’s latest plans to rent extra salespeople and goal particular industries like retail and finance. In February, Google said that it might purchase a smaller enterprise software program startup Alooma for an undisclosed quantity.

The deal is Google’s fourth greatest acquisition ever, behind the $3.1 billion acquisition of on-line ad-serving firm DoubleClick in 2007, the $3.2 billion buy of house expertise firm Nest in 2014, and the $12.5 billion acquisition of Motorola Mobility in 2012.

Looker gained prominence in recent times as a business analytics tool that lets prospects collect and study traits in company information that could be saved in a number of third-party databases and cloud computing services. In December, Looker raised $103 million at a valuation of $1.5 billion from buyers like PremjiInvest, Google’s development fairness fund CapitalG, and Founders Circle Capital, based on deal monitoring service PitchBook.

Kurian stated that Looker prospects would nonetheless be capable to retailer and analyze company information in third-party providers offered by rivals comparable to Salesforce, Amazon, Microsoft, and Oracle, the place Kurian as soon as labored for over 20 years. He pitched Looker as complimentary to Google’s so-called hybrid cloud technique, which includes Google making certain that its expertise works with rival cloud corporations and the interior information facilities of its prospects.

Google’s intent to amass Looker comes at a time when the U.S. regulators are probing large tech corporations together with the search large, Apple, Amazon, and Facebook for potential antitrust violations.

Kurian dismissed any potential antitrust points with the corporate’s newest deal, saying that the service competes with a number of different enterprise analytics instruments and that Google is “not shopping for any information together with this transaction.”

Corporations like Microsoft and Amazon promote comparable enterprise analytics instruments in addition to youthful corporations like Domo and Tableau, which went public in 2018 and 2013, respectively.

Get Eye on A.I., Fortune’s e-newsletter on synthetic intelligence.

Kurian declined to elaborate on how Google will combine Looker’s expertise with its personal providers, solely to say that Google will “announce our roadmap as soon as we get regulatory approval.”

Kurian did say that Google would doubtless combine a few of its machine-learning expertise with Looker’s enterprise analytics instrument. Google might use its natural language processing technology, which lets computer systems perceive textual content and speech, to make it potential for purchasers to ask the instrument questions in “a number of languages,” presumably utilizing their voice or by manually typing queries.

Extra must-read tales from Fortune:

Amazon’s interest in buying Boost is confounding the cell business

—Apple might have simply swiped 130 million console gamers

Huawei prepares for all times with out Google and Microsoft

—Inside Google’s civil war: an empowered tech workforce rebels

—Take heed to our new audio briefing, Fortune 500 Daily

Meet up with Data Sheet, Fortune‘s day by day digest on the enterprise of tech.

Source link


Please enter your comment!
Please enter your name here