According to a report in Bloomberg, it looks like Microsoft (NASDAQ:MSFT) is in negotiations to pay $1 billion+ for Yammer. The company is a pioneer in social networking technologies for business. The deal could be announced tomorrow.
Over the past couple weeks, the social media space has seen several major acquisitions. For example, Salesforce.com (NYSE:CRM) purchased Buddy Media for $745 million, and Oracle (NASDAQ:ORCL) acquired Vitrue and Collective Intellect.
So yes, Microsoft probably wants to have its own “social deal.” And Yammer is a good choice. The company’s original investor is Peter Thiel, who was also the first investor in Facebook (NASDAQ:FB). What’s more, Yammer’s CEO is a tech veteran, David Sacks, who helped to build PayPal.