San Francisco: Microsoft announced on Monday to buy a Facebook-like Internet start-up for the business world, Yammer, for $1.2 billion.
The deal announced Monday comes nearly two weeks after word of Microsoft’s negotiations with Yammer first leaked out in published reports. Yammer provides ways for companies to create private social networks for their employees. It has more than 5 million corporate users, AP reported.
The acquisition represents Microsoft’s latest attempt to adapt to a major shift in the technology industry, one that is fuelling demand for more Internet services and social-networking tools. That shift is threatening to weaken Microsoft’s position as the world’s largest software maker.
Yammer, which is based in San Francisco, had raised about $142 million since its inception four years ago.
“When we started Yammer four years ago, we set out to do something big,” Yammer CEO David 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.”
Microsoft’s stock fell $1.01, or 3.3 percent, to $29.69 in afternoon trading Monday, AP reported.
Dear TNT Reader,
At The News Tribe, our mission is to bring you free, independent, and unbiased news and content that keeps you informed and empowered. We are committed to upholding the highest standards of journalism, as we understand that we are a platform for truth.
Apart from independent global news coverage, we also commit our unique focus on the Muslim world. In an age marked by the troubling rise of Islamophobia and widespread misrepresentation of Muslims in Western media, we strive to provide accurate and fair coverage.
But to continue doing so, we need your support. Even a small donation of 1$ can make a big difference. Your contribution will help us maintain the quality of our news and counteract the negative narratives that are so prevalent.
Please consider donating today to ensure we can keep delivering the news that matters. Together, we can make a positive impact on the world, and work towards a more inclusive, informed global society.
Donate Monthly Subscription Annual Subscription