Microsoft Acquires Multimap

December 12th, 2007 · 31 Comments · Microsoft, Virtual Earth

The news this morning out of the UK is that Microsoft has agreed to buy Multimap for approximately ~~£50 million~~ $50M (updated from earlier number).

Multimap owns a maps website aimed at consumers that attracted more than 4 million unique users in the UK last month, according to Nielsen NetRatings, the market researchers.

The figures place the site second in the field in the UK – sandwiched between the market leading Google Maps, which attracted about 11 million users, and the third-placed Google Earth. Microsoft’s current mapping effort, Live Search Maps, languished in a distant fifth place, with about 868,000 users.

I’m not sure what this will mean for developers, but it is probably a really great move for Microsoft competing against the Google.

Multimap will operate as a wholly owned subsidiary of Microsoft as part of the Online Services Groups and the Microsoft Virtual Earth and Search teams.

There is nothing money can not solve
Sanchez offers up big money to buy out Multimap

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31 responses so far ↓

1 Jud Aster // Dec 12, 2007 at 9:18 am

I think it’s impossible to compete against the Google with the same product.

Google Maps is so much better than Multimap. Much faster, no advertising, more local information, better orthophoto images, etc…
2 KoS // Dec 12, 2007 at 9:35 am

My only questions…..is Microsoft paying in US dollars or Euros?

KoS
3 James Fee // Dec 12, 2007 at 10:08 am

@KoS: Pounds?
4 Cellulose // Dec 12, 2007 at 10:10 am

@Jud
Yeah, i’m not sure what they’re adding to their portfolio with Multimap. I just checked it out and it actually seems like a slightly-more-capable version of Live Search maps.

Seems like for L50 Million, they could have just hired a boat-load of developers (or stolen Google’s Map team) and improved their own offering… quite frankly, I don’t think it’d be hard to beat Google’s offering as their map product isn’t really that “good”… it’s just fast.

@KoS
I believe the UK is still resisting that “french” supported Euro thing… Viva la resistance.
5 Bill // Dec 12, 2007 at 10:30 am

I think the UK isn’t on the Euro yet (but I could be wrong). The article reports the value in pounds.
6 Vince // Dec 12, 2007 at 10:45 am

Who does Multimap use for their mapping data services? Are they going to lose out?
7 Lefty // Dec 12, 2007 at 10:51 am

A google search shows it could be deCarta…
8 KoS // Dec 12, 2007 at 10:52 am

Ya, maybe it’s pounds. I couldn’t remember if the Brits finally gave in to the madness.

My main point in bring it up is the exchange rate. Depending on what currency is used. It has a great impact on the overall value of the purchase. Especially how weak the US dollar is currently.

I am assuming the US dollar isn’t doing all too well against the pound either? It’s still weird having the Canadian dollar stronger than the US. Damn Canadians!!

KoS
9 J Wallis // Dec 12, 2007 at 11:17 am

50 mill….even if it is pounds, is nothing to Microsoft.
10 Brit // Dec 12, 2007 at 12:05 pm

euro? no chance. £££££££££

Multimap has improved a lot over past year or so. About 2yrs ago, everyone over here was using it. GMaps and MSLive are the main ones I see people using these days.

I also read in the Mapperz blog (UK based) that they have an API and OS 1:50k mapping which is pretty handy for me, working in an environmental consultancy.
http://www.multimap.com/openapi/
11 KoS // Dec 12, 2007 at 1:39 pm

JW…very true. I can only wise I had their money problems.

Regardless if its a drop in the bucket for someone. As of today, 1 US dollar equals .4884 pounds. A decent difference there.

KoS
12 daethKiss // Dec 12, 2007 at 1:53 pm

Microsoft paying in US Dollars only, I think. Good article.
13 J Wallis // Dec 12, 2007 at 2:03 pm

I’m sure this buy is mainly to gain traction in the European market which MS and google both serve poorly.
14 Anon // Dec 12, 2007 at 2:21 pm

I’m always up for Franz Sanchez references!
15 J Wallis // Dec 12, 2007 at 2:30 pm

Yes, and that was probably the worst Bond movie ever. Well, any Bond movie with Timothy Dalton was bad.
16 George Lucas // Dec 12, 2007 at 2:40 pm

shurely shome mishtake - all Bondsh shince Connery havent shhaken or shtirred me.

He gave me the finger for Indie 4 - does he know something I don’t?.
17 steve lombardi // Dec 12, 2007 at 3:10 pm

@4
James sort of touched on it in his post - Multimap has a very popular platform for application developers and have worked very hard over the years to build an impressive customer list and an excellent reputation among developers who have worked with their API’s. I’ll have some details on my VE blog later today or tomorrow

steve lombardi
virtual earth program manager
http://virtualearth.spaces.live.com
18 sstein // Dec 12, 2007 at 3:57 pm

mhm.. i think google is quite strong in europe as well. But if they want to buy the product or rather the developers.. who knows (actually i recently heard that Microsoft Switzerland/Zurich searched more that hundred people this year but could only fill less than a fourth-third positions).

Btw. also google (maps) acquired a swiss company last year (Endoxon) - now this is the gmaps-division for europe (i think). So acquisition may be the only way to grow.
19 Cellulose // Dec 12, 2007 at 4:11 pm

Sounds like it’s a factor of two things then…

1. Buying the customer base (a very good strategy)

2. N0t enough developers at the right price/quality ratio. (a very short term fix)

50M ($ or L or E) can build a very nice work environment and attract very talented developers… If a company is willing to pay a premium price for quality.

Paying “Market” is not a premium–it’s average. That attracts average developers.
20 Richard Fairhurst // Dec 12, 2007 at 4:12 pm

Saying “Google Maps is so much better than Multimap” is a crazy oversimplification. Google’s cartography is fine for driving, next-to-useless for anything else - where are the footpaths? the cycleways? the canals? Multimap, however, has decent Ordnance Survey cartography, among many other features that differentiate it from Google.

It’s not unequivocally better or worse, it’s just different.
21 Jud Aster // Dec 13, 2007 at 1:39 am

OK… Multimap is perfect for the UK. Google Maps is much better for any other part of the world.
22 daethKiss // Dec 13, 2007 at 3:38 am

Good article. I think Google maps is better than another programs because it is with high quality maps of everywhere.
23 J Wallis // Dec 13, 2007 at 6:09 am

@Richard

but didn’t you know, Google Maps is better than everything! Why would the UK not like WGS84? I mean, if it is good enough for the rest of the world, it surely is good enough for the UK!
24 Matthew Snape // Dec 13, 2007 at 6:38 am

For a long time Multimap was useful because it had OS raster mapping at 1:25,000. They now only have 1:50,000 base mapping which is not turned on be default. It looks to me that they are moving away from OS data. Without OS base mapping there is no real reason to use multimap. I guess this delivers microsoft a large customer base.
25 SIMON // Dec 13, 2007 at 6:41 am

another useful thing, before a lot of these online geocoders came about, was a quick and easy way to convert a few postcodes to xy British Nat Grid. Gives useful info about spatial position that GMaps doesn’t.
26 J Wallis // Dec 13, 2007 at 7:45 am

but WGS84 is good enough for everybody!
27 kj // Dec 13, 2007 at 6:26 pm

$50M, that can’t be right can it? If a typical going rate for buying a company under normal conditions is 5-7% annual revenue, that would mean multi map was, totally tiny?
28 kj // Dec 14, 2007 at 6:57 am

make that 5-7 times not %
29 london calling // Dec 14, 2007 at 7:07 am

Some level of OS data should be available for ‘non-commercial use’ in 2008. http://openspace.ordnancesurvey.co.uk/openspace/index.html This will be via via a Javascript API and include 1:50,000 and ‘Street View’ and a Gazeteer Service so you can look up all those “far away towns”… once the alpha testing has finished..
30 Simon // Dec 16, 2007 at 1:03 pm

Commercial use - which API?
Ive fiddled around with GMaps and some of the tutorials (SQL & PHP interests me most) However the license agreement restricts me from delivering data to clients that require sensitive data to be restricted either by login or hosted on there Intranet.

Ive heard OpenLayers is restriction free but not too keen on the layout. Anyone have any recommendations ?
31 Richard // Dec 17, 2007 at 7:37 am

@J Wallis - ah, but Multimap does WGS84, in fact they’ve actually reprojected all the OS National Grid stuff… crazy guys