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VP Strategic Growth at Unifi Software. Previously VP positions at HP Vertica, Yankee Group and Aberdeen Group, amongst others.

2 responses to “Chattering about the Value of Enterprise 2.0”

  1. Dennis Moore

    Chris –

    Very interesting analysis. I think Chatter is the first commercial product I’ve seen that has taken an exciting approach towards applications chattering to people about “important stuff.”

    As to pricing, however, I think you are undervaluing the risk of the alternatives that might compete with Chatter. Chatter has very low risk in implementation, as compared to other approaches, due to its excellent usability, pre-integration with Salesforce.com for sales and services staff, and the company’s viability. Any start-up should be considered to be around an order of magnitude riskier (or more!) than Salesforce.com with respect to company viability, and project risk raises the overall risk factor that should be applied when calculating value (see http://dbmoore.blogspot.com/2009/07/enterprise-software-buyers-bill-of.html and http://dbmoore.blogspot.com/2009/07/when-and-why-to-accept-less-than-pmax.html for discussions on the pricing of risk in enterprise software products); with that in mind, Chatter should be priced at least an order of magnitude higher than start-up alternatives, in order to adequately account for risk.

    I enjoyed your analysis – keep up the excellent writing!

    – Dennis