Huddle CEO: 'It's Pretty Obvious' Microsoft 'Will Destroy Yammer'

Alastair Mitchell Huddle

Photo: Huddle

Alastair Mitchell, Huddle’s CEO and co-founder is happy Microsoft just bought Yammer for $1.2 billion.Of the many file sharing cloud services out there, Huddle most closely competes with Microsoft SharePoint.

Huddle already has a social component, too, which is what Yammer will bring to SharePoint. Plus Huddle has a unique recommendation engine that helps it “filter out the noise,” Mitchell told us.

Unlike SharePoint, it’s already available on every mobile platform, including a new native iPad app just released today.

Mitchell is confident that the whole SharePoint/Yammer thing will be a disaster. 

“I’m delighted for the Yammer guys. It’s a huge exit for them. A bonkers revenue multiple. It validates the market. It’s what CIOs are telling us every day. I don’t want social on its own. I don’t want a traditional management content system on its own,” he says.

“Why it’s also great is that they’ll destroy Yammer. It’s pretty obvious. They do that with every single business they build. It will come bundled for free with SharePoint and with everything else. You just look at the feature bloat in those products. No one uses [all those features] anyway. I’m personally happy that it knocks out someone in the market,” he says.

Huddle still has Box and Jive to contend with, but Mitchell is eager to take on all comers. “Enterprises looked at Box and say it’s not enterprise enough. They looked at Yammer say it’s all social, not content. They look at Jive and say it’s not cloud,” he dishes.

Last month, Huddle raised $24 million led by Jafco Ventures, bringing its total raised to $40 million Huddle began in Europe, although it now has multiple U.S. offices. Mitchell is using the money to ramp up U.S. sales.

About 40% of its 100,000 companies using Huddle are in the U.S. “We service them from a tiny team with less than five reps in U.K. Can you imagine the damage we’ll do when we land a huge team in the U.S. which is what we’re doing now?” he says.

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