Acquisition to cost $350 million
Last modified on Tuesday, 18 September 2007 10:08
Yahoo, Inc. announced that it has come to agreement with Zimbra, Inc. to acquire it for US$350 million. Zimbra, Inc., is a privately held company that offers open source server and client software for collaboration and messaging, Email, group calendaring, contacts and Web document management and authoring.
Zimbra’s server is available for use on Linux, Mac OS X, Web appliances and virtualization platforms. The transaction between the two companies is scheduled to close in Q4 of this year. Zimbra will become a Yahoo subsidiary after the sale closes.
Zimbra’s Collaboration Suite is considered a competitor to Microsoft’s Office suite and Exchange platform and the acquisition by Yahoo will pose competition to Google, Inc., Zoho, Cisco Systems Inc.’s WebEX and similar companies that offer Web-hosted collaboration and communication suites.
In addition to offering Email services, Zimbra's product suite includes calendar and contact management components in addition to an open platform allowing third-party creation of mini-applications for the suite, known as “Zimlets.”
Zimbra’s client base is an impressive list of Service Providers, businesses and universities; its partners include RedHat, Mozilla Firefox, Intel, Ubuntu, Hewlett-Packard, Mac, Sumitomo and Novell.