Microsoft acquires Israeli data analysis start-up Equivio for an estimated $200 million

Microsoft Satya Nadella

Microsoft announced Tuesday that it has acquired Israeli start-up Equivio, a text analytics service which uses machine-learning techniques to help organizations identify documents relevant to their legal and compliance needs.

The financial details of the transaction were not disclosed, but reports state that the deal could be anywhere around $200 million.

Microsoft reportedly plans to use Equivio’s eDiscover and information governance tools in their Office 365 program to sift through reams of data.

Currently, e-discovery is in great demand from large companies who have little to no idea how to deal with the enormous quantities of data they are producing and what is worthy of disposal or indeed, being crucial to the company.

“We are making this acquisition to help our customers tackle the legal and compliance challenges inherent in managing large quantities of email and documents,” writes Microsoft’s corporate vice president for Outlook and Office 365 Rajesh Jha in Tuesday’s announcement. “Traditional techniques for finding relevant documents are falling behind as the growth of data outpaces peoples’ ability to manually process it.”

Equivio’s line of Zoom products enables users to take stock of large, unstructured sets of data and quickly find what is relevant, according to Jha. Businesses can better manage their documents by applying machine learning techniques to automatically cluster documents into relevant groups and to identify unique documents.

“It uses advanced text analytics to perform multi-dimensional analyses of data collections, intelligently sorting documents into themes, grouping near-duplicates, isolating unique data, and helping users quickly identify the documents they need,” Jha said.

Users are able to train Equivio’s information governance tools to identify documents according to their retention needs, such as a legal case or investigation. U.S. Department of Justice and Federal Trade Commission, law firms as well as corporations and other organisations already use the tool.

Currently there are no changes made to Equivio’s offerings, but Microsoft’s future plans for the Equivio’s stand-alone services remain unclear. According to the software giant’s spokesperson, the company plans to incorporate Equivio’s technologies into its own products and that it will share more on this in the coming future.

As a part of the acquisition, Microsoft said that it expects a sizeable number of Equivio’s present employees to join the company. They’ll be working out of the company’s offices in Israel, including the Microsoft Israel Research and Development Center.

The company will meet existing commitments with Equivio’s partners and customers however the software giant said that Equivio will not be selling its Equivio Zoom product to new customers now that the acquisition has been completed.

 

Avatar
Carrie Ann
Carrie Ann is Editor-in-Chief at Industry Leaders Magazine, based in Las Vegas. Carrie covers technology, trends, marketing, brands, productivity, and leadership. When she isn’t writing she prefers reading. She loves reading books and articles on business, economics, corporate law, luxury products, artificial intelligence, and latest technology. She’s keen on political discussions and shares an undying passion for gadgets. Follow Carrie Ann on Twitter, Facebook

Recent Posts

Hyundai commits $7.4 billion in US investment by 2025

Hyundai commits $7.4 billion in US investment by 2025

South Korea’s Hyundai Motor Co., announced on Thursday it will soon start manufacturing electric vehicles in the United States. The automaker plans to produce EVs, upgrade produc
2 days ago
US inflation report of 4.2 percent raises concerns

US inflation report of 4.2 percent raises concerns

The US reported the highest inflation recorded in the last dozen years at 4.2 percent in April, riding on government stimulus packages, improved energy prices, better spending and
2 days ago
Aon – Willis asset disposal aims to ease approval of $30 billion merger

Aon – Willis asset disposal aims to ease approval of $30 billion merger

Aon Plc and Willis Towers Watson have agreed to sell $3.6 billion worth of assets to rival Arthur J. Gallagher & Co. in a bid to appease European competition regulators over th
3 days ago
Roblox declares Q1, reports $387 million revenue as bookings increase

Roblox declares Q1, reports $387 million revenue as bookings increase

Roblox, the hugely popular online gaming platform, reported its first-quarter earnings after becoming a listed company. Its revenue more than doubled as the videogame company benef
4 days ago
Weak US job report results in volatile market

Weak US job report results in volatile market

A weak job report resulted in a record close on Friday for the US stocks. The US labor department’s monthly non-farm payrolls report revealed employers hired 266,000 new workers
5 days ago
Star and Blackstone launch bids to buyout Australia’s Crown Resorts

Star and Blackstone launch bids to buyout Australia’s Crown Resorts

A bidding war has broken out between Australian casino company Star Entertainment Group and US private equity investor Blackstone Group over Crown Resorts, Australia’s bigges
5 days ago