Microsoft is buying 4% of the London Stock Exchange Group.
👉 Background: Microsoft is the tech behemoth behind the Office suite as well as the Azure cloud computing services. With a market capitalisation of $1.88 trillion, it ought to make some big investments.
👉 What happened: Now, Microsoft has announced that they will be buying 4% of the London Stock Exchange Group for $2.8bn USD. The London Stock Exchange Group is ironically a public company itself and is listed on its very own exchange - the London Stock Exchange.
👉 What else: While Microsoft invests capital into LSEG, the stock exchange will invest heavily in Microsoft's tech services. It's all part of LSEG's goal to get deeper into the tech game.
💡Stock exchanges are becoming data-driven hubs to remain competitive in an increasingly digital marketplace. While traditional stock exchanges generated a fee from listing companies on their exchange, now it’s all about data and analytics.
💡Global spending on financial market data and news rose 7.4% to $US35.6 billion in 2021. And the London Stock Exchange ain’t the only ones to buddy up.
💡We've recently seen Nasdaq and Amazon strike up a partnership as well as Google and CME Group, the world’s largest financial derivatives exchange.
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