In case you haven’t heard the news yet, grab a sit. LinkedIn acquired Lynda.com, a leading online learning company, for a whopping 1.5 billion dollars – that’s more money than the sum of all acquisitions made by LinkedIn so far.
Is there an explanation for this investment? Sure. With video consumption on the rise, Lynda.com became an appealing acquisition. Offering a wide range of online courses and known for its high-quality material and expertise, LinkedIn saw the potential of expanding the services offered to professionals with new, self-paced courses.
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In addition, Lynda.com is a solid-business, way beyond the start-up point. Founded in 1995, it currently generates over $150m per year and boasts a community of over 500 million professionals and brands. So, not only does LinkedIn acquire a profitable business, but it also has the opportunity to expand its existing social network.
Lynda.com’s close ties with brands and industries will act as a fertile ground for LinkedIn to become an indispensable tool for all the companies. Let’s not forget that just a few weeks ago, LinkedIn acquired Careerify, a Toronto-based startup with an aim to push its referral scheme – aka connections among candidates, influencers and potential jobs.
So what we have here is basically LinkedIn‘s ambition to grow into a fully professional suite – from personal branding, which is the current offering, to fostering connections and network creations and, finally, to personal development and skill acquisition. Tie all these facts with an estimated $20 billion content marketing opportunity and you have a recipe for success.
In the words of Lynda.com’s Founder, Lynda Weinman:
[quote]We have a shared vision of connecting relevant knowledge to those in need of new or stronger skills, and believe that together we can positively impact the global job market and economy.[/quote]
What do you think about this acquisition?