Technology

Microsoft Pays $1.2 Billion For Yammer

Wouldn’t you just love to have a sort of Facebook for the office just as popular as Microsoft Office? That would definitely get you less scrutinous looks from hard working colleagues. Microsoft might be able to do just that as it pays $1.2 billion for Yammer, a social network that could change corporate America.

It’s been so long since Microsoft has been setting the trends in IT. The company surfaced this June more aggressive and more determined get back in the game. The acquisition of Yammer has become official earlier this week, as Microsoft is buying it for $1.2 billion. Under Microsoft management, Yammer truly has the potential of becoming corporate America’s Facebook.

Microsoft plans to join Yammer to its Office Division and integrate it with Microsoft SharePoint, Office 365, Skype and Microsoft Dynamics. Microsoft’s CEO Steve Ballmer, said: “The acquisition of Yammer underscores our commitment to deliver technology that businesses need and people love”. And Yammer’s 5 million corporate users are proof that Microsoft could really benefit from this “best-in-class enterprise social networking service”.

For Microsoft, Yammer is a huge selling point for corporate cloud services. President of Microsoft Office Division Kurt DelBene, said: “Yammer will be an important addition to Microsoft’s cloud services and this acquisition underscores our commitment to helping customers move to the cloud”.

Yammer’s CEO, David Sacks, said in a statement: “Joining Microsoft will accelerate that vision (changing how people work through social networking) and give us access to the technologies, expertise and resources we’ll need to scale and innovate”. The CEO added the acquisition is giving Yammer the opportunity to become “one of the few software companies whose products are household names”.

Larry Cannell, Gartner analyst, said the Yammer acquisition “makes Microsoft a stronger competitor in the enterprise social market”. He also added that the purchase “it’s a recognition by Microsoft that today’s information worker isn’t just focused on content. They need help working together and building relationships with others”.

Something’s different about Microsoft, and truth be told it feels nice to have this titan taking the lead in the business once again. Last week it revealed the Surface tablets that truly have potential. In fact, Microsoft has the first tablet product that could definitely put Apple in the shadow.

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