So Yammer takes the Techcrunch50 top prize…and?
Dan Thornton | September 12, 2008There have been lots of reports on the Techcrunch50 startup conference/competition, and lots of coverage of Yammer winning the top prize.
It takes the Twitter model, and asks ‘What are you working on’ for enterprise, so a private Twitter for companies. It’s free to use for employees, but the business model kicks in if a company wants to claim their network and get administrative tools to remove messages and users, set password policies, or set IP ranges for who can use it.
So far so good – as always, I’m reserving my judgement until I get to sit and play with it – which I’m about to start doing for a fun little project. One of my main concerns is about the scale of take-up. A comparison between Facebook and Twitter shows microblogging is far from ubiquitous.

With this in mind, will there be enough scale within enough companies to make it worthwhile for companies, and also to show enough revenue to make sense? The natural audience is in the global technology companies, but beyond that, it might be somewhat limited as a mechanism for people with 6 employees signed up and the rest ignoring it.
It will also be intriguing to see how it works across departments, and particularly across verticals. Will people interact in a meaningful way if the management are seeing every message (Yam?). Will it lead to decisions becoming slowed by Death by Committee as everyone seeks to put in their opinion?
For me, there are too many questions to predict whether it will be successful or not. Within a large UK organisation I’ve seen Facebook rocket in popularity for social use but fail to get traction for business use. Meanwhile LinkedIn has again grown, but as a tool for external contacts rather than questions and interaction. One company in one country isn’t exactly a representative survey, but even within the hardcore of early adopters who embrace social networking (and indeed microblogging), I’m not sure there’s enough conversation to necessitate Yammer over email/instant messaging/forums.
Still the $50,000 Techcrunch prize is more money than a lot of social networks have achieved, so they’re off to a good start!







