Yammer Grows Big After Microsoft’s Acquisition

Today, Microsoft has released some new Yammer statistics, which shows that the enterprise social network has surpassed 7 million registered users, which at the time of acquisition last year it had only 5 million registered users.

Microsoft also said that the sales for the year 2012 tripled to that of 2011, and highlighted that the fourth quarter sales in 2012 were up by four times than the previous year. Microsoft added that the number of paid registered users on Yammer shot up 165 percent in 2012, and has added nearly 290 new paying customers in the fourth quarter of 2012.

Yammer is one of the best tools for collaboration and widely used for private communication within organizations or a team. Microsoft has announced that it is going to integrate Yammer with Office this summer. That is, Microsoft’s SkyDrive Pro and Office Web Apps technologies will be tightly integrated into Yammer, and will be made available by summer 2013.


Starting next week, Microsoft will be making available Yammer/SharePoint products and services at new price points. Those offerings will be:

  • Yammer Basic Standalone: Free
  • Yammer Enterprise Standalone: $3 per user/per month
  • SharePoint Online (Plan 1) + Yammer Enterprise: $4 per user/per month
  • SharePoint Online (Plan 2) + Yammer Enterprise: $8 per user/per month
  • Office 365 E Plans 1-4 + Yammer Enterprise: $8 – $24 per user/per month

Microsoft Acquires Yammer for $1.2 Billion

YammerYammer, which is pretty much Facebook for enterprises, has been acquired by Microsoft for $1.2 billion in cash. Yammer was launched towards the end of 2008, and currently has more than 5 million users including employees at 85 percent of the Fortune 500. “When we started Yammer four years ago, we set out to do something big,” David Sacks, Yammer founder and CEO, 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.”

Microsoft will be folding Yammer into the Office division, where it will bolster Microsoft’s current enterprise offerings. The Redmond giant expects Yammer to complement existing products like SharePoint, Office 365, Dynamics and Skype. “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.”

Yammer will continue to be developed as an independent service, but Microsoft will leverage its existing products to boost Yammer’s adaption. Going forward, Microsoft’s biggest challenge will be monetizing Yammer. The enterprise social network operates on a freemium model, with four fifth of the current users accessing its services for free.

WSJ: Microsoft To Acquire Yammer For $1 Billion

The Wall Street Journal has just confirmed through its own sources that Microsoft will acquire Yammer for $1 billion. Rumors surfaced not too long ago as someone eavesdropped in on people discussing the deal at a San Francisco cafe that’s right across the street from Yammer’s offices.

This is one Microsoft acquisition that I think makes a lot of sense: Yammer is a service that allows businesses and enterprises to set up private, internal networks that employees can use to communicate. These are fairly old numbers, but, as of 2010, 80,000 companies — including 80% of Fortune 500 companies — use Yammer. In fact, we even use Yammer here at Techie-Buzz for editorial operations and internal company communication.

It remains unknown when Microsoft will complete and announce the deal, but it’s unlikely that this is the big announcement that the company has in store for Monday. Bloomberg suggests that the deal could be completed as soon as tomorrow (Friday, June 15).