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Showing posts with label microblogging. Show all posts
Showing posts with label microblogging. Show all posts

Monday, June 25, 2012

With Yammer, Microsoft Begins Its Journey From Collaborative To Social


Confirming what we already knew, today Microsoft announced they are acquiring Yammer for $1.2 billion in cold cash. Here's a blog post by David Sacks, the CEO of Yammer.

Microsoft doesn't report a revenue breakdown for their individual products but SharePoint is believed to be one of the fastest growing products with annual revenue of more than $1 billion. Regardless of how Microsoft markets and positions SharePoint, it has always been collaboration software and not really social software. Microsoft does seem to understand the challenges it faces in moving their portfolio of products to the cloud, including SharePoint. Microsoft also understands value of having end users on their side even though SharePoint is sold as enterprise software. Microsoft's challenges in transitioning to the cloud are similar to the ones faced by other on-premise enterprise software vendors.

But, I really admire Microsoft's commitment by not giving up on any of these things. Skype's acquisition was about reaching those millions of end users and they continue to do that with their acquisition of Yammer. Going from collaborative to social requires being able to play at the grassroots level in an organization as opposed to a top down push and more importantly being able to create and leverage network effects. It's incredibly difficult to lead in with an on-premise solution retrofitted for cloud to create network effects. Native cloud solutions do have this advantage. Yammer will do this really well while helping Microsoft to strengthen SharePoint as a product and maintain its revenue without compromising margins. If Microsoft executes this well, they might unlock a solution for their Innovator's Dilemma.

With Yammer, Microsoft does have an opportunity to fill in the missing half of social enterprise by transforming productivity silos into collaborative content curation. As a social enterprise software enthusiast, I would love to see it happen, sooner rather than later.

At personal level, I am excited to see the push for social in enterprise software and a strong will and desire to cater to the end users and not just the decision makers.  I hope that more entrepreneurs recognize that enterprise software could be social, cool, and lucrative. This also strengthens market position for the vendors such as Box and Asana.

It's impressive what an incumbent can do when they decide to execute on their strategy. Microsoft is fighting multiple battles. They do have the right cards. It's to be seen how they play the game.

Monday, August 4, 2008

Social computing in enterprise software - leveraging Twitter like microblogging capabilities

Twitter was buzzing with posts on the recent L.A earthquake nine minutes before AP officially broke the news. This Twitter phenomenon once again proved that unintended consequences are always larger than intended consequences. As we would have never imagined people find amusing ways of using Twitter ranging from keeping buddies updated and getting caught drinking when they called in sick and the boss followed their tweets to ensue wave of media coverage to get out of jail. A recent proposal to use Twitter as an emergency system met with stark criticism citing Twitter's availability issues. I don't see this as an "either or" proposition. The answer is "and" and not "yes, but". Let's use Twitter for what it is worth. It's a great microblogging and crowdsourcing tool to tap into the wisdom of crowd with a very little overhead and almost no barrier to entry.

Enterprise software should seriously consider this social computing phenomenon and leverage its capabilities by integrating such a tool in their offerings. For instance a social CRM application can use such a tool to help sales people effectively follow, collaborate, and close opportunities. The customer support system can provide transparency into the defect resolution process by service representatives tweeting the progress instead of logging it in semi-static IT ticket systems.

Following individual tweets has its obvious advantages but correlating multiple tweets could be extremely powerful and could yield to interesting nontraditional usage models such as using it to run predictive markets, sentiment analysis, or to track a recall on salmonella tainted tomatoes in real-time.
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