One month after LinkedIn announced that it was selling itself to Microsoft for $26 billion, Reid Hoffman, LinkedIn's chairman and co-founder, is finally speaking out about the deal and what it'll mean for the professional social network.
"How do you work everyday to build the ability to reach more people and to grow much more strongly, especially internationally? Microsoft brings all that," Hoffman explained. "From Microsoft's perspective, we bring a network of individuals. [Microsoft] tends to bring productivity to corporations. How do you also make individuals more productive?"
It's that combination that is reflected in the economic value of the deal, says Hoffman. Because both businesses are so deeply intertwined, combining the companies made "much more sense," he adds.
The deal stipulates that LinkedIn's operations will remain independent from Microsoft. However, both companies have already been talking about how to integrate their businesses. There's been talk of how to pool both companies' missions, for instance. This is something Hoffman suggests naturally align.
Hoffman also noted that if LinkedIn remained independent, it would have involved higher risks and a greater volatility of its stock price. Earlier this year, LinkedIn's shares had plunged a whopping 40 percent. "In all consideration, we thought this was the right thing to do for all constituencies," he said.
Watch the CNBC interview.