GitHub is an online service that allows developers to host their code in the cloud using the popular Git source management system, invented by Linux founder Linus Torvalds in 2005. It was last valued at $2 billion in 2015.
According to one of the people who is familiar with the matter, GitHub preferred selling the company to going public and chose Microsoft partially because it was impressed by CEO’s Satya Nadella’s performance.
Microsoft has worked hard on bringing Ubuntu and BASH to Windows, and has ported several of its popular applications to Linux, like SQL Server and Visual Studio.
GitHub has been looking for a new CEO for almost nine month now to replace Chris Wanstrath, one of the company’s co-founders, after he stepped down last August.
Both parties have declined to comment, according to the report.
According to another person who’s familiar with the deal, Microsoft has been talking to GitHub on an off for a few years already, starting from a supposed partnership progressed to an acquisition.
GitHub hosts 27 million software developers working on 80 million repositories of code. Microsoft is now one if the biggest contributors to the platform.