Avast Software buys AVG Technologies. One more major tech acquisition happened just one month after Microsoft decided to buy out one of the biggest social platforms on the internet, Linkendin, for $26.2 Billion in cash.
Following Microsoft's steps, the well known antivirus company, Avast Software, announced that it would buy Amsterdam-based AVG Technologies for $25 per share in an all-cash transaction valued at $1.3 Billion. Avast is aiming to expand its presence in the emerging markets. That move will provide Avast an expanded geographical reach in its primary business as well as the growing number of Internet of Things and with 400 Million endpoints -- devices that have some form of Avast or AVG application installed. Around 160 Million of those are mobile. AVG CEO Gary Kovacs said: "We believe that joining forces with Avast, a private company with significant resources, fully supports our growth objectives and represents the best interests of our stockholders. Our new scale will allow us to accelerate investments in growing markets and continue to focus on providing comprehensive and simple-to-use solutions for consumers and businesses, alike. As the definition of online security continues to shift from being device-centric, to being concerned with devices, data and people, we believe the combined company, with the strengthened value proposition, will emerge as a leader in this growing market." The only controversies that AVG technologies is facing so far has to do with updating its policy, since the company will be allowed to collect and sell users non-personal data to online advertisers in order to make money from their free offerings in order to continue keeping them free.