Please ensure Javascript is enabled for purposes of website accessibility

Instant Analysis: Microsoft Makes an Acquisition in the Mobile Sphere

By Eric Volkman – Feb 26, 2016 at 3:38PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The company scoops up mobile solutions developer Xamarin.

Is it better to have a strong partnership with a busy software development company, or to own it outright? For tech behemoth Microsoft (MSFT -1.94%), as far as mobile cross-platform specialist Xamarin is concerned, it's the latter. The company announced in an official blog post Wednesday that it is now the owner of Xamarin, although the price and terms of the deal were not disclosed.


Xamarin, in Microsoft's words, "provides a rich mobile development offering that enables developers to build mobile apps using C# and deliver fully native mobile app experiences to all major devices." These include the big two mobile operating systems: Alphabet's Android, and Apple's iOS.

(C# is a programming language developed by Microsoft.)

Does it matter?
The Xamarin buy fits in well with Microsoft's recent emphasis on providing solutions for mobile devices. After all, that's the huge IT market of the future, not the desktop segment the company so thoroughly dominated for decades.

So it's an opportunistic purchase for the company. It's not a particularly surprising one, however. Discussion of this deal has been in the air for several years, with rumors bubbling up every now and then that Microsoft was about to pull the trigger. The two companies officially became partners in 2013, and expanded that partnership the following year, with Xamarin's solutions finding their way into several Microsoft products.

In the mobile world dominated by Android and iOS, Microsoft remains a minor player. Owning Xamarin will strengthen its position in the segment, but the company has a long way to go before it will be a presence there on the order of an Alphabet or Apple.

Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. Eric Volkman has no position in any stocks mentioned. The Motley Fool owns shares of and recommends Alphabet (A shares), Alphabet (C shares), and Apple. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Microsoft Corporation Stock Quote
Microsoft Corporation
$232.90 (-1.94%) $-4.60

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning analyst team.

Stock Advisor Returns
S&P 500 Returns

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 09/30/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.