Yammer

Yammer. It is an enterprise social networking service used for private communication within organizations, operating as a freemium model. Originally launched as an independent startup, it was acquired by Microsoft in 2012 and has since been integrated into the Microsoft 365 suite of productivity tools. The platform facilitates collaboration through features like feeds, groups, and direct messaging, aiming to improve internal communication and knowledge sharing.

History

The service was founded in 2008 by David Sacks, a former executive at PayPal, and launched at the TechCrunch50 conference. The startup grew rapidly, competing with other early enterprise social networks like Jive Software and Salesforce.com's Chatter. In a significant move for the SaaS sector, Microsoft announced its acquisition of the company in June 2012 for approximately $1.2 billion, integrating it into the Microsoft Office division. Under Microsoft, it was gradually woven into the broader Microsoft 365 ecosystem, with key integration milestones following the release of Office 365 and later Microsoft Teams. The development team was originally based in San Francisco, and the acquisition was a notable event during the tenure of Microsoft CEO Steve Ballmer.

Features

The core functionality revolves around a Facebook-like news feed where users can post messages, share files, and ask questions. It supports the creation of public or private communities and groups centered around projects, departments, or topics. Key features include threaded conversations, @mention notifications, polls, and praise badges for recognizing colleagues. Unlike public social networks such as Twitter or LinkedIn, access is restricted to users with a verified company email address, creating a secure, internal network. The platform also includes administrative tools for managing users, enforcing security policies, and analyzing engagement metrics through a dedicated dashboard.

Integration with Microsoft 365

Following the acquisition, deep integration with the Microsoft 365 productivity suite became a strategic priority. It is included in various Microsoft 365 subscription plans, allowing seamless single sign-on via Azure Active Directory. Conversations and files shared within the network can be connected to documents stored in SharePoint and OneDrive for Business. A significant integration point is with Microsoft Teams, where its communities can be added as a tab, though Microsoft Teams has since evolved to encompass much of its core communication functionality. The service also connects with other Microsoft applications like Power BI for analytics and Microsoft Outlook for email notifications.

Business model and pricing

The service initially operated on a freemium business model, offering basic functionality for free while charging for advanced administrative controls, security features, and dedicated customer support. After becoming part of Microsoft, its pricing was bundled into Microsoft 365 enterprise plans, such as Microsoft 365 Business Standard and Microsoft 365 E5. Standalone pricing tiers were historically offered, providing different levels of administrative and compliance features, but its primary distribution is now as a value-added service within the broader Microsoft 365 licensing structure, competing with suites from Google Workspace and Slack.

Reception and impact

Upon its launch, it was quickly adopted by numerous organizations, winning the TechCrunch50 conference award and being dubbed "Facebook for the enterprise." Analysts from Gartner and Forrester Research often cited it in discussions of the Enterprise 2.0 trend. The acquisition by Microsoft was seen as a validation of the enterprise social networking market. However, with the meteoric rise of Microsoft Teams, especially during the COVID-19 pandemic, its strategic role within the Microsoft portfolio has been perceived by some commentators as diminished, with Teams becoming the primary hub for teamwork. Nonetheless, it continues to be used by organizations for broad company-wide announcements and community building separate from project-centric chats. Category:Microsoft software Category:Enterprise social networking Category:Microsoft 365 Category:Software companies based in the San Francisco Bay Area