Yesterday Microsoft confirmed the news Bloomberg reported 12 days ago: Microsoft buys 4-year old Yammer for $1.2bn.
Wow! This really has blown the game wide open. I will be honest (and apologies to my friends at Yammer) but I did have some concerns about Yammer being maybe a little too social (vs collaborative) and that it was slightly handicapped by the more limited level of integration with SharePoint and Microsoft Office suite which, lets face it, is pretty essential for most organisations (although Yammer was working on this already).
However, this partnership must have the others (i.e. Google, Jive, Chatter and Newsgator) running a little scared. And not without reason as the potential opportunities of this union could be massive.
The benefits are easy to see: the ease-of-use of Yammer, fully integrated with SharePoint, Office 365, MS Dynamics and Skype is pretty exciting. If done well this will catapult it ahead of the competition and provide a seriously powerful collaborative platform. Add to that the investment capabilities of Microsoft, and this has got to be a partnership made in heaven.
However, as is to be expected when this kind of news is revealed, the doom-sayers are in a high state of excitement.
Not everyone is a Microsoft fan (suggested by the CEO of Jive) – although this may well be true, I dont think we will see people leaving Yammer in their droves just because Microsoft is now involved. First of all, most multinational businesses I work with have SharePoint and MS Office running in some shape or form and therefore are not Microsoft averse. But more importantly, considering the effort it takes to get a social collaboration structure up and running successfully (even with the easy-to-use Yammer) , I don’t think companies are likely to abandon their efforts and/or switch to an alternative platform just because Microsoft is on the scene.
Microsoft dwarfs Yammer and kills the technology – although Microsoft have made it clear that Yammer “will continue to develop its standalone service and maintain its commitment to simplicity, innovation and cross-platform experience”, there is a risk that they will see this as an opportunity to commercialise their other products through Yammer (i.e. force feed them to us). I don’t see this as a risk but as a benefit. It will add the necessary weight to Yammer’s offering rather than threaten its existence.
The Microsoft curse – the argument that for some inexplicable reason Yammer will suffer the same mysterious fate as some others, like Groove, have suffered after they have been bought by the software giant. The reality is that Groove’s fate was already sealed before Microsoft got involved, but for the more superstitious amongst you, here is a list of investments that Microsoft has made over the years. There are a couple of bloopers but I think you will agree they have won more than they lost.
I am conscious that I am starting to sound like a Microsoft groupie. I am not. In fact, I come from a totally platform agnostic angle. I believe that your needs should define your choice of platform (based on a clear understanding of the user requirements and well defined business objectives).
However, I do think it is great news, not just for Yammer but for the whole socially collaborative landscape. It is going to spice up the competitiveness (hopefully bringing down the costs), raise the awareness of the benefits of social collaboration in general and lead to more product development, thereby improving the functionality, usability and effectiveness of the platforms. Lower prices and better products – who doesn’t like that!?!
2 thoughts on “The Dream Team? Or Nightmare? – Microsoft and Yammer”
An interesting article reflecting Jive’s CMO take on the Microsoft/Yammer deal: https://community.jivesoftware.com/community/jivetalks/blog/2012/06/25/what-microsofts-acquisition-of-yammer-means-for-socbiz?sf4827168=1
I like this summary too: http://www.sharepointjoel.com/Lists/Posts/Post.aspx?List=0cd1a63d-183c-4fc2-8320-ba5369008acb&ID=556