Enterprise 2.0 Start Up Yammer Snags $10 Million in Funding

2 minute read
Geoff Spick avatar

Yammer (news, site) is attracting plenty of attention and new users. Now it has attracted further investment, as it picks up a fresh stock of capital.

More Dollars for Yammer

This time last year, Yammer picked up US$ 5m in investment from the Founders Fund and Charles River Ventures. In 2010, it starts the year with another US$ 10m from the same sources plus new investors, Emergence Capitol and Ron Conway, to expand its Enterprise 2.0 communications tool.

Yammer now claims over 60,000 companies using its Web-based connection and information sharing tools. It works rather like a corporate micro-blog and directory. Ideal for quick Q&As, users can chat and discuss, promote urgent issues, flag up news and so on to the right person or people.

Yammer became available for Android users at the start of this year to join last year's iPhone app.

Yammering On and Upwards

Users can sign up for free and start using it within their company, which encourages grass roots take-up, then the company can buy in and claim administration of the service. At just US$ 3 or US$ 5 per user per month with added admin features, it's hardly a massive outlay if Yammer proves useful in a workplace.

Learning Opportunities

Yammer could well make it big thanks to its small footprint -- just a tiny icon if you use the YammerFox plug-in for Firefox or a plain webpage if you use a browser with none of the silly flourishes of most messaging systems. Of course it's also available as an Adobe Air Desktop app.

Supporting Twitter-like #tag features, keeping a searchable list of messages and useful stats, Yammer is very much function-first, a welcome sight for hard-pressed knowledge workers. To keep the product's momentum going, Yammer has also picked up a founding President from Facebook, Sean Parker to join the board and steer the product in the right direction.

The new funding is destined to help expand Yammer's features, market presence and adoption, as its CEO David Sacks says, “We’re pleased with the rapid growth and market adoption we’ve achieved and are poised to accelerate it with exciting enhancements to our product and with broadened sales coverage.”

As email and phones are seen as increasingly old hat by younger employees, Yammer could well be one of the more popular tools enterprises deploy to keep their workers in the loop.