Microsoft to acquire 4% stake in London Stock Exchange Group as part of 10-year cloud partnership

Microsoft to acquire 4% stake in London Stock Exchange Group as part of 10-year cloud partnership

Microsoft To acquire A 4% stake in London Stock Exchange Group (LSEG), which owns the London Stock Exchange and a number of other businesses, including financial data company Refinitiv, which LSEG bought from a Blackstone/Thomson Reuters consortium last summer $27 billion.

Microsoft’s stake, which was purchased from the same Blackstone/Thomson Reuters consortium.This is part of a larger 10-year partnership that includes a contractual commitment by LSEG to spend a minimum $2.8 billion on cloud computing services. This will see LSEG migrate its data platform and other key technology infrastructure to Azure. The Workspace data and analytics product it acquired as part of the Refinitiv acquisition last years will be integrated with core Microsoft apps including. Teams The broader Microsoft 365 software suite.

This partnership will create a single product that combines data, analytics, and collaboration. It could help LSEG challenge Bloomberg as the leading platform for finance and investment professionals.

All LSEG customers will be able to collaborate through Teams and create models and graphs by connecting LSEG content with Excel. The companies stated that the partnership is quite broad and will allow Microsoft’s cloud-based machine-learning smarts to be combined with LSEG’s modelling and analytics to “co-develop a suite of new solutions” for financial institutions.

This is a win-win situation for both companies: a large cloud contract for Microsoft that opens the company to Refinitiv’s customers of 40,000, as well an equity investment in a major Bloomberg competitor. LSEG now has the financial and technological backing of one of the largest banks in the world. The world’s largest public cloud companies.

David Schwimmer, CEO of LSEG, stated in a press release that “Bringing together our leading data sets and analytics with Microsoft’s extensive and trusted cloud services and global reach creates attractive revenues growth opportunities for both companies.”

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