Search engine behemoth, Google is set to take some market share from tech giant MIcrosoft with its latest move to acquire marketing software company Hubspot.
According to reports, Google‘s parent compnay Alphabet’s acquisition of the $30 billion-rated company is a component of its ambition to take on Microsoft in the market for cloud applications.
In a research note seen by Reuters, Cowen analyst Derrick Wood stated, “It does appear that Google has aspirations to try to take market share from Microsoft in the productivity suite, and they can use HubSpot to bundle applications together for clients.”
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Alphabet and HupSpot are continuing their talks, according to sources familiar with the situation cited by Bloomberg, although no deal has been finalized as of yet.
Reuters reported last month that Alphabet was having talks about a takeover with investment bankers from Morgan Stanley (MS). It was mentioned that this would be Alphabet’s largest acquisition to date if the deal went through.
The news was released concurrently with HubSpot’s first-quarter diluted earnings per share of 12 cents. Analysts had been expecting a defeat. Better than anticipated, revenue rose by 23.1% on an annual basis to $617.4 million.
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