Microsoft Acquired Ally.io, an OKR startup that raised $76 million

Microsoft has acquired Ally.io - a software service that assists companies to measure their progress against OKRs(objective and key results). The company uses a common methodology to measure both individual and company progress. The purchase price is yet to be revealed.

The report states that Microsoft is planning to incorporate Ally into its Viva family of employee experience products. The company believes that the idea behind the acquisition is to offer a more transparent way to present company goals and objectives to employees.

Kirk Koenigsbauer, chief operating officer & corporate vice president in charge of experiences and devices, announced the deal in a blog spot. He wrote that aligning employee work into the company's strategic mission and core priorities is the major concern for every organization. To make this successful, leaders need to look out for tools that communicate transparency while spreading aspirational goals and reporting results at all organization levels.

Writing on the deal, CEO and founder Vetri Vellore feels the acquisition will enable the company to grow the product much more quickly as part of Microsoft. He hopes that Ally.io continues to give leaders, teams, and individuals the ability to align and focus on everyday work while highlighting the company's most important objectives. Vellore feels that Ally.io expertise will help imbibe goals and purpose to the concerned team or levels of communications across Teams, Outlook, Slack, and other everyday use systems. 

Why is Communication Transparency Vital?

Using the communication mode following the work objective that fits the company's broader vision is the need of the hour, especially in today's perspective where everything is happening over the virtual webspace. Using advanced and productive modes enables even remote employees to execute their preferred tools while ensuring company goals and vision remain on track all the time.

While Microsoft didn't reveal the deal's price, PitchBook data reports that Ally has raised a $345 million post-money value in the past. Hence, it seems the valuation price was set when the company raised $50 million earlier this year for a total of $76 million raised.

Interestingly, the exit of Ally to Microsoft has encouraged venture capitalists to invest in the OKR-focused software market; many prominent players are in a race to fill the void. Prominent ones in the list include WorkBoard, Koan, Gtmhub, Perdoo, and Weekdone.

Factually, they have done remarkably well in attracting venture capital and growing early-stage revenues. With this new development, the cluster of companies can choose their investments for growth or shift into dual-tracking private rounds with possible exits to mega-tech companies.

Ally, headquartered in Washington state, could set the stage for other major platform players to buy and offer similar services. The new development has opened many new possibilities in the OKR marketplace while seeds are sown to witness greater results in the coming time.