cloud computingEarlier this week, Microsoft announced plans of acquiring LinkedIn. If this transaction meets regulatory approvals, Microsoft will pay $26.2 billion, or $196 per share, in cash. If this transaction isn’t completed for some reason, LinkedIn will pay Microsoft a $275 termination fee.

This development follows Microsoft’s recent decision to lay off 1,850 employees to streamline business. Last month, Microsoft announced plans to focus business developments from mobile devices to enterprise services.

This acquisition serves as a key development in Microsoft’s enterprise services expansion. Microsoft plans to use LinkedIn’s services with their existing CRM products, that are second to SalesForce in the market. Along with partnering CRM products, Microsoft will be able to use LinkedIn to promote software products and provide support in learning and maintenance.