Google’s expected acquisition of HubSpot would help it compete with Microsoft

Google’s parent alphabet is apparently he’s making progress in its bid to acquire the $30 billion marketing software company HubSpot. This transaction, which is Google’s largest acquisition in history, is part of the company’s strategy to compete with Microsoft in the cloud applications market.

“Google appears to have aspirations to take away Microsoft’s office suite market share and may use HubSpot to package customer applications,” Cowen analyst Derrick Wood said in a research note. seen by Reuters.

Google is the third-largest cloud provider, but has less than half of Microsoft’s market share. Meanwhile, Amazon controls a third of the market.

Reports of a potential Google takeover first appeared in April, sending HubSpot shares by as much as 11%. However, HubSpot’s financial results are getting better analysts are skeptical over the weakening demand for its products. Business made a profit of $6 million in the first quarter, with sales increasing by over 20% compared to the previous year. Google’s talks with HubSpot are “ongoing” and no agreement has been reached, according to Bloomberg.

While Google still lags in the cloud market, it has a much more even playing field with Microsoft in the artificial intelligence space, where it competes for dominance with many of its Big Tech competitors – with compelling odds. Google, Microsoft, Meta, and Amazon have all announced major new AI applications and features, as well as their own custom AI chips, over the past year. But Google has dropped a slew of updates to its AI toolkit called Gemini during the I/O developer conference, strengthening its position as a major player in the field of artificial intelligence. One week later, Microsoft has made its own artificial intelligence announcements, but now they face problems from European regulators.