The largest software acquisition ever: IBM to buy Red Hat for $34B

At a price typically reserved for semiconductor companies, telecoms, and pharmaceutical giants, IBM announced today it would pay a record $34 billion in cash and debt to acquire enterprise open source provider Red Hat. Eclipsing Microsoft’s $26.2 billion acquisition of LinkedIn, this is the biggest software acquisition in history. It’s not the biggest tech acquisition ever, though, as that title belongs to Dell’s $67 billion buyout of data storage business EMC.

You can learn about what IBM is buying Red Hat to become a hybrid cloud company in TechCrunch editor Ingrid Lunden’s deep dive here:

IBM to buy Red Hat for $34B in cash and debt, taking a bigger leap into hybrid cloud

So how does the IBM-Red Hat deal (if it closes), stack up against the other largest acquisitions of all time?

Top Tech Acquisitions

1. $67 billion – Personal computer company Dell buys EMC data storage
2. $37 billion – Semiconductor company Avago Technologies buys and renames as semiconductor giant Broadcom
3. $34 billion (pending) – IBM computers buys open source software provider Red Hat
4. $31.4 billion – Japanese conglomerate SoftBank acquires semiconductor company ARM Holdings
5. $26.2 billion – Software company Microsoft buys professional social network Linkedin in 2016

Top Software Acquisitions

1. $34 billion (pending) – IBM computers buys open source software provider Red Hat in 2018
2. $26.2 billion – Software company Microsoft buys professional social network LinkedIn in 2016
3. $22 billion – Social network Facebook buys messaging app WhatsApp in 2014
4. $13.5 billion – Security software maker Symantec buys storage management software maker Veritas in 2004 ($18 billion adjusted for inflation)
5.  $11 billion – Database company Oracle buys human resources software company PeopleSoft in 2004 ($14.7 billion adjusted for inflation)

Top Acquisitions Ever

1. $202 billion – British telecom Vodafone buys German telecom Mannesmann in 2000 ($296 billion adjusted for inflation)
2. $165 billion – ISP AOL buys media conglomerate Time Warner in 200 ($241 billion adjusted for inflation)
3. $111.8 billion – Pharmaceutical giant Pfizer buys pharmaceutical company Warner Lambert in 1999 ($164 billion adjusted for inflation)
4. $130 billion – Telecom Verizon Communications buys Vodafone and Bell Atlantic’s Verizon Wireless in 2013
5. $130 billion – Dow Chemical buys chemical company DuPont in 2015

from Microsoft – TechCrunch https://techcrunch.com/2018/10/28/biggest-software-acquisition/