Friday, June 17, 2016
Love it or hate it, you've got to agree that nobody's better at chasing a buck than Microsoft. The tech giant announced today that it is partnering with KIND Financial -- already a leading player in the cannabis business -- to develop a full seed-to-sale system for tracking marijuana plants:
Three days after investing in LinkedIn Corp. LNKD, -0.14% in a record-setting $26 billion deal, the company announced its first venture into the world of marijuana, striking a partnership with KIND Financial to provide seed-to-sale software to state and local governments for the management of cannabis commerce and distribution.
The deal makes Microsoft one of the first major technology companies—and one of the first major publicly traded companies -- to acknowledge the rapid legalization of marijuana, with recreational use already legalized in Alaska, Colorado, Oregon, Washington and Washington D.C., and up for vote soon in five other major states, including California.
Major brands have been mute on the controversial topic, but more have started to show their support as acceptance has spread. Last month, Walgreens Boots Alliance posted a blog touting research showing the benefits of medical marijuana, which is now legal in 24 states.
The legal marijuana industry is expected to balloon in coming years. Sales of legalized marijuana are projected to hit $6.7 billion this year, compared with $5.4 billion a year ago, according to industry tracker ArcView Market Research.
KIND Financial is using Microsoft’s cloud platform to build out its services for government agencies. According to Marijuana.com., a team at Microsoft will help clients navigate regulations and laws, while tracking legal cannabis commerce and helping to stop product from reaching the black market.
In a statement, a Microsoft spokesperson said the company “supports government missions to regulate and monitor controlled substances and items, from the Justice Department regulating tobacco and firearms to a state regulating legal cannabis.”