Microsoft has confirmed its intention to acquire Yammer for $1.2 billion in cash. The company will be part of the Microsoft Office Division and will be headed by the division President Kurt DelBene.
So, what exactly is a Yammer? Well, it’s a simple social network designed not to connect you with family or college roommates, but with your coworkers. The company was started four years ago and currently has 5 million corporate users, which includes employees from 85 percent of the Fortune 500 companies.
Microsoft is saying that Yammer will continue to operate as-is for now, but Microsoft will certainly be looking to fold its features into its own suite of enterprise offerings, like SharePoint and Office 365. The current Yammer team will continue to work from their San Francisco office and report to their current CEO David Sachs, who will report to Kurt DelBene.
Of course, the acquisition is far from complete and as usual will need to be approved by the various government bodies, although no information has been provided as to by when the acquisition process would be complete.
For more bench of details check out after the break the official PR down below.
Official Press Release
Microsoft to Acquire Yammer
June 25, 2012
Microsoft extends cloud services with best-in-class enterprise social networking.
REDMOND, Wash., and SAN FRANCISCO – June 25, 2012 – Microsoft Corp. and Yammer Inc. today announced that they have entered into a definitive agreement under which Microsoft will acquire Yammer, a leading provider of enterprise social networks, for $1.2 billion in cash. Yammer will join the Microsoft Office Division, led by division President Kurt DelBene, and the team will continue to report to current CEO David Sacks.
Microsoft and Yammer: Best in Class Enterprise Social Networking
June 25, 2012
“The acquisition of Yammer underscores our commitment to deliver technology that businesses need and people love,” said Steve Ballmer, CEO, Microsoft. “Yammer adds a best-in-class enterprise social networking service to Microsoft’s growing portfolio of complementary cloud services.”
Launched in 2008, Yammer now has more than 5 million corporate users, including employees at 85 percent of the Fortune 500. The service allows employees to join a secure, private social network for free and then makes it easy for companies to convert a grassroots movement into companywide strategic initiative.
Yammer will continue to develop its standalone service and maintain its commitment to simplicity, innovation and cross-platform experiences. Moving forward, Microsoft plans to accelerate Yammer’s adoption alongside complementary offerings from Microsoft SharePoint, Office 365, Microsoft Dynamics and Skype.
“When we started Yammer four years ago, we set out to do something big,” Sacks said. “We had a vision for how social networking could change the way we work. Joining Microsoft will accelerate that vision and give us access to the technologies, expertise and resources we’ll need to scale and innovate.”
The acquisition is subject to customary closing conditions, including regulatory approval.
Yammer (www.yammer.com) is a leading provider of enterprise social networks with over 5 million verified corporate users including employees of more than 85 percent of the Fortune 500. The basic version of Yammer is free, and customers can pay to upgrade their network to receive advanced administrative and security controls, integrations with enterprise applications, priority customer service and a designated customer success manager.
Founded in 1975, Microsoft (Nasdaq “MSFT”) is the worldwide leader in software, services and solutions that help people and businesses realize their full potential.
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