Foursquare receives $15 million investment from Microsoft
After announcing a new CEO, it was revealed that Microsoft has invested a pretty penny into location-based service, Foursquare.
Microsoft has invested $15 million into Foursquare, which will form part of a 4-year licensing deal. The deal states that Foursquare‘s user data will now be incorporated into Microsoft‘s we and mobile platforms.
Foursquare‘s user data includes user location (obviously), personal recommendations and tips. What Microsoft plans to do with this data remains a mystery – although some people have their ideas on why.
The New York Times have their own speculations on what the Microsoft Foursquare partnership means. According to them, Microsoft will use Foursquare‘s data to up the search on their Windows 8 and Bing platforms.
This has further been stimulated by Foursquare‘s announcement of the partnership. In a blog post on their website, the company stated:
“In the near future, when you use Microsoft devices powered by the Windows and Windows Phone operating systems and products like Bing, places will be enhanced by Foursquare “” to provide contextually-aware experiences and the best recommendations of any service in the world,” the statement read.
Aside from the announcement on their website, Foursquare has said little about Microsoft‘s investment. A spokesperson for the company also declined to comment on any specific details surrounding the new partnership.
However, the company did say that they are hiring an internal Windows 8 developer… interesting.
Foursquare has made many similar deals in recent months. Back in December 2013, they also raised an additional $35 million in funding after they opened up advertising to all business in October.
Just last week, they also signed a deal with GrubHub Seamless which allows users to order delivery from hundreds of restaurants directly through Foursquare.
All of these new partnership and business moves are part of Foursquare‘s plan to step up their monetization efforts. And by partnering with Microsoft, they are moving in the right direction.