Yahoo Reportedly Selling Zimbra To VMWare

Zimbra

Over the last year, Yahoo (NSDQ: YHOO) has put a series of its properties — from Yahoo Small Business to HotJobs — on the block. However, despite lots of chatter, there’s been a lack of action. That may be about to change. AllThingsD’s Kara Swisher says that Yahoo is close to selling its Zimbra enterprise e-mail and communications platform — which it had put up for sale in late September — to VMWare; CNET confirms the deal and says it will be announced “soon.”

Zimbra seems like an odd fit for VMWare, which focuses on selling virtualization technology, which allow businesses to run the same tasks using fewer servers. Still, because its platform is marketed toward businesses, Zimbra probably fits better at VMWare than at consumer-centric Yahoo, which paid $350 million for the company two years ago.

No word on the price VMWare is paying. A Yahoo spokeswoman said the company does not comment on “rumors or speculation;” a VMWare representative also declined to comment. We’ll update when we learn more.

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