San Francisco-based Yammer, a provider of enterprise social networks has secured $17 million in its fourth round of funding, bringing its total financing to $57 million. The Social+Capital Partnership, a new fund established by former Facebook Vice President Chamath Palihapitiya, led the round with previous investors Charles River Ventures, Emergence Capital and U.S. Venture Partners also participating.
Yammer, Inc., the leading provider of enterprise social networks, today announced it has received $17 million in its fourth round of funding, bringing its total financing to $57 million. The Social+Capital Partnership, a new fund established by former Facebook Vice President Chamath Palihapitiya, led the round with previous investors Charles River Ventures, Emergence Capital and U.S. Venture Partners also participating. Palihapitiya will have an observer’s seat on Yammer’s board of directors.
“Social networking is destined to have as significant an impact on the enterprise as it has already had in our personal lives,” said Palihapitiya, founder and managing partner of The Social+Capital Partnership. “Yammer is the clear leader in enterprise social networking and is redefining collaboration, sharing and productivity in a way that will disrupt an entire class of existing enterprise applications.”
Yammer has grown at a rapid pace. It has been adopted by over 100,000 businesses in 160 countries in less than three years, including employees at more than 80 percent of the Fortune 500. Major corporations such as 7-11, Ford, Southern Company, Shell and SuperValu have deployed Yammer this year, proof that enterprise social networking is entering the mainstream.
“Having just raised capital in November, we didn’t necessarily need additional funding right now. But we really wanted to get Chamath on board,” said Yammer founder and CEO David Sacks. “Chamath is one of the most insightful people in tech and his experience at Facebook will prove invaluable to us as we scale Yammer in the years to come.”
Yammer is expanding rapidly internationally to meet global demand for its product, and the additional funding will be used to scale operations across its offices in San Francisco, London and Melbourne. The company is actively hiring employees in sales, engineering and customer support.
Palihapitiya is not the only Facebook principal involved in Yammer. He joins Sean Parker, Facebook’s founding president, who is on Yammer’s Board of Directors, and Peter Thiel, who was the first investor in both Facebook and Yammer.
“Social is in our DNA,” said Sacks. “It’s the core of what we do, not an add-on to what we do. And that’s reflected by who’s involved in our company, who we choose to surround ourselves with and whose advice and ideas we actively seek.”
About The Social+Capital Partnership The Social+Capital Partnership is a stage-agnostic, multi-hundred-million-dollar fund focused on backing exceptional entrepreneurs in the areas of healthcare, education, financial services and internet technologies. The Partnership’s investors are comprised of some of the world’s most renowned philanthropists, technologists and capitalists. The Social+Capital Partnership is based in Palo Alto, CA.
About Yammer, Inc. Yammer is the leader in enterprise social networking, providing a secure way for employees to communicate, collaborate, and share information. The basic version of Yammer is free, and customers can pay to upgrade their network to receive additional administrative and security controls, priority customer service and a dedicated customer success manager. Companies and organizations across the globe, including more than 80 percent of the Fortune 500, are using our award-winning Software-as-a-Service (SaaS) solution to improve employee productivity and engagement. Visit our blog to see how our customers are benefiting from Yammer.