- Essential finished an acquisition of CloudMagic this morning for an undisclosed sum.
- CloudMagic made the widespread Newton email app, which close down previous this 12 months.
- It isn’t fairly transparent why Essential would purchase an organization like CloudMagic.
Companies purchase different corporations all the time. Some of the ones acquisitions make massive headlines (assume AT&T purchasing Time Warner) whilst others fly beneath the radar. However, maximum acquisitions make sense once you pay attention about them.
Under commonplace instances, a smartphone corporate purchasing an organization interested by cloud integration wouldn’t be all too unexpected. However, Essential has made main headlines over the previous few months for all the unsuitable causes, with talks of Rubin promoting the corporate, then shedding a 3rd of its team of workers, after which getting stuck up in an enormous sexual harassment scandal which led to hundreds of Google workers strolling off the process.
Meanwhile, CloudMagic shuttered its widespread Newton email app previous this 12 months, after years of unhealthy selections and mismanagement. Now, its website online seems love it was once made in MS-DOS.
What would a smartphone corporate in a tailspin need with an organization whose simplest actual product was once a just-shuttered email app?
An Essential spokesperson gave this cryptic and open-ended commentary to TechCrunch: “We are all the time on the lookout for corporations with nice era and ability to assist boost up our product roadmap.”
Sure. OK. Take that as you’re going to.
What do you assume? What is that this acquisition all about? Let us know your theories in the feedback.