Microsoft Corp. announced today that it will acquire Groove Networks Inc., a leading provider of collaboration software for the "virtual office". The deal unites two top innovators of technology that help geographically distributed workgroups be as productive as those that work in a single physical location.

The addition of Groove products to the lineup of Microsoft Office System products, servers and services builds on the capabilities of Microsoft's current collaboration products, allowing Microsoft to better meet the needs of organizations of all sizes that increasingly are creating borderless project teams comprising employees, customers, partners, suppliers, contractors and others.

Press release : Demo