:00:00. > :00:00.Those are the latest headlines from BBC World News.
:00:00. > :00:07.Now for the latest financial news with Sally.
:00:08. > :00:24.Does Microsoft have it's head in the cloud?
:00:25. > :00:27.Analysts weigh up the tech giant's move to buy LinkedIn for a whopping
:00:28. > :00:30.And Xbox goes head to head with PlayStation in the latest
:00:31. > :00:33.round of console wars with both sides unveiling new gaming
:00:34. > :00:44.Also in the programme, as we head closer to the UK's
:00:45. > :00:46.decision on its future in Europe the pound
:00:47. > :00:49.We gauge the mood among small business leaders.
:00:50. > :01:02.It's one of the biggest tech deals in history but is it the right fit.
:01:03. > :01:05.That's the question many are now asking following Microsoft's move
:01:06. > :01:07.to buy LinkedIn, the professional social networking website.
:01:08. > :01:09.It didn't come cheap either, Microsoft is paying $26 billion
:01:10. > :01:12.in cash for the networking site, which works out at $196
:01:13. > :01:14.a share, a huge premium on Friday's closing price.
:01:15. > :01:16.The company's shares tanked in value earlier in the year
:01:17. > :01:19.on a disappointing revenue forecast but as you can see
:01:20. > :01:22.when the news broke of the takeover it rocked back, rising by 47%
:01:23. > :01:33.and finishing the day at just over $192 a share.
:01:34. > :01:46.Well it has 106 million monthly active users which gives Microsoft
:01:47. > :01:49.the chance to boost its sales of its business and email software.
:01:50. > :01:51.However, the tech giant is effectively paying $248 for each
:01:52. > :01:54.of those active users leaving many to question if this deal
:01:55. > :02:06.For example Microsoft's last big acquisition lead it to write down
:02:07. > :02:09.almost the entire value it paid for Nokia less than a year after it
:02:10. > :02:21.Here's our technology correspondent, Rory Cellan-Jones.
:02:22. > :02:24.It is a social network for business, linking more than 400 million people
:02:25. > :02:26.worldwide, who make professional contacts, seek new jobs,
:02:27. > :02:38.But now, LinkedIn is being bought by Microsoft in the software
:02:39. > :02:41.The two partners explain why they thought this
:02:42. > :02:45.When you think about Microsoft, you think about professionalism
:02:46. > :02:50.to realise that mission than connecting the world's
:02:51. > :02:55.professionals, and making them more successful.
:02:56. > :02:56.Our mission statements have different words.
:02:57. > :03:00.But at the end of the day, we are really trying to accomplish
:03:01. > :03:03.Connect the world's professionals, make them more successful
:03:04. > :03:15.Just a quarter of LinkedIn members, 106 million people, visit
:03:16. > :03:18.That compares with the 1.65 billion who visit Facebook.
:03:19. > :03:20.But Microsoft is now paying the equivalent of $247
:03:21. > :03:24.Just for context, for the same money it could have bought Sky TV,
:03:25. > :03:26.a business which made big profits last year,
:03:27. > :03:28.when LinkedIn made a substantial loss.
:03:29. > :03:30.The company's last big move, buying Nokia's mobile phone
:03:31. > :03:33.business, went badly, the entire value of the deal written
:03:34. > :03:38.But Microsoft is turning into a cloud computing company,
:03:39. > :03:40.storing customers' data on its own computers,
:03:41. > :03:42.them all kinds of services now including LinkedIn.
:03:43. > :03:45.The hope is the network brings with it something very valuable.
:03:46. > :03:48.The data about each worker in the workplace, their contacts,
:03:49. > :03:51.who they have worked with before, who they would like to work with,
:03:52. > :03:53.is extremely valuable from an enterprise perspective,
:03:54. > :03:55.and for Microsoft to sell services around the world.
:03:56. > :03:57.Some LinkedIn users took to the network to express concern
:03:58. > :04:00.They may need convincing that connecting with Microsoft
:04:01. > :04:05.As well as going on a rather expensive shopping spree in the last
:04:06. > :04:07.24 hours Microsoft has been burnishing its gaming credentials,
:04:08. > :04:10.announcing the release of not one but two consoles at this year's E3
:04:11. > :04:14.They're just one of the companies hogging the limelight
:04:15. > :04:16.at the gathering with Sony arguably stealing the show with its
:04:17. > :04:28.Well Dave Lee our North America technology reporter is there
:04:29. > :04:31.and a little earlier he caught up with the head of
:04:32. > :04:44.What big announcements have we seen from Sony? Well, their press
:04:45. > :04:49.conference has just finished, and their big announcement is that their
:04:50. > :04:56.virtual reality headset will be out this year, in October. The idea is
:04:57. > :05:01.that it brings games into a new world so we can experience them in
:05:02. > :05:04.different ways. This is a big deal for Sony, because it means they will
:05:05. > :05:09.beat the competition to what many people are describing as the future
:05:10. > :05:20.of gaming. They always have the benefit of going second and they
:05:21. > :05:23.tend to make the most of that. Tell us about Microsoft announcing two
:05:24. > :05:29.new consoles, how is that going down? That was a surprise to
:05:30. > :05:34.everyone, really. The first console they announced this morning is a
:05:35. > :05:38.slimmer version of the Xbox. That will be out later this year, but
:05:39. > :05:42.more interesting than that, they said in 2017 they would bring out a
:05:43. > :05:55.whole new console that is capable of flying these high end games. Many
:05:56. > :05:59.parents will think, I only bought an Xbox three years ago, which was when
:06:00. > :06:04.the most recent one came out. I put that question to Phil Spencer, about
:06:05. > :06:10.whether parents should be worried about having to shell out again. No
:06:11. > :06:15.one gets left behind. Staying with your Xbox and continuing to play the
:06:16. > :06:20.games you know and love, we can we think that is great. This is a
:06:21. > :06:23.choice you have is a game. You don't have to move forward, the games are
:06:24. > :06:29.moving out, they will be playable on the Xbox that you bought a few years
:06:30. > :06:36.ago from us, and on the new one. So, the big gamble is that Sony have
:06:37. > :06:41.gone straight into virtual reality, with some that may not be as good as
:06:42. > :06:45.Microsoft's next year. Microsoft that's decided to wait and bide its
:06:46. > :06:52.time. Whether the games will gravitate towards Sony and get used
:06:53. > :06:55.to that, we will find out. If it is not as good as Microsoft, then Apple
:06:56. > :07:01.back via. Two different strategies, both hoping to claim the ground. It
:07:02. > :07:05.will be interesting to see who has made the right call. Thank you very
:07:06. > :07:07.much. While many of the headlines relating
:07:08. > :07:11.to the UK's EU referendum have been generated by the views of big firms,
:07:12. > :07:16.there are in fact more people working in small and medium
:07:17. > :07:18.sized businesses or SME's who will have a chance
:07:19. > :07:21.to vote on the issue. According to the UK government
:07:22. > :07:24.15.6 million people are employed by SMEs,
:07:25. > :07:27.that's 60% of all private sector The combined annual turnover
:07:28. > :07:33.of those business is around $2.6 trillion, that's 47% of all private
:07:34. > :07:36.sector turnover in the UK. Today BBC Business begins
:07:37. > :07:38.its series of films focusing on what this important part
:07:39. > :08:06.of the UK's economy thinks I am and salt, and I'm managing
:08:07. > :08:11.director of a dairy, we have been supplying goats milk to the market
:08:12. > :08:16.and speciality dairy products to the UK and overseas markets. Personally
:08:17. > :08:24.I want to stay in the EU. The farms that suppliers are all farmers that
:08:25. > :08:27.benefit from subsidies. There is a lot of red tape around Europe, and
:08:28. > :08:32.I'm sure there are times when it will be criticised for the amount of
:08:33. > :08:37.paperwork and how awkward it can be to deal with and be part of the EU.
:08:38. > :08:45.From a farming point of view, the subsidies the farms get benefit from
:08:46. > :08:51.that income, and if that were to be taken away, the only thing is that
:08:52. > :08:54.food prices would increase or we would have two absorb costs, which
:08:55. > :09:03.in the current climate is not possible.
:09:04. > :09:08.And you can get more on what information businesses think
:09:09. > :09:11.of the Uk's EU referendum as well as what both sides say
:09:12. > :09:14.on a whole range of issues as the BBC' referendum webpage
:09:15. > :09:20.Unions in France have urged members to provide a show of strength
:09:21. > :09:22.in Paris today as a general strike gets underway in protest
:09:23. > :09:24.against the government's labour reforms.
:09:25. > :09:26.The reforms make it easier for companies to lay off workers,
:09:27. > :09:28.reduce pay and introduce flexible working hours.
:09:29. > :09:31.The government hopes it will help to lower the country's
:09:32. > :09:33.high unemployment rate by encouraging companies to take
:09:34. > :09:38.IPhone and iPad users will soon be able to send Whatsapp messages
:09:39. > :09:41.or book Uber cars via voice commands.
:09:42. > :09:44.The announcement was made by apple at their Worldwide Developers
:09:45. > :09:48.The company also said it would be bringing its digital assistant Siri
:09:49. > :09:51.to the next laptop and PC operating system, bringing it in line
:09:52. > :10:11.markets remain nervous ahead of the events take place this week and
:10:12. > :10:21.beyond. The UK referendum is coming up. Quite volatile, and you can see
:10:22. > :10:38.the figures here. Almost 100 years after she sank,
:10:39. > :10:40.divers are attempting to discover more about the fate of the Titanic's
:10:41. > :10:44.sister ship, the Britannic. Despite also being billed
:10:45. > :10:47.as an unsinkable vessel,