Not completely unexpected but still major news for all Grooveusers and developers: Microsoft buys Groove

Hoping to boost its collaboration software strategy, Microsoft on Thursday announced its intention to acquire Groove Networks, naming Groove founder Ray Ozzie as the company's CTO.

The deal calls for Microsoft to add Groove's products into Microsoft's Office System lineup of products and services, along with bringing over Groove's core development team. Ozzie, the creator of Lotus Notes, will report directly to Microsoft chairman Bill Gates.

Once the deal is approved, Groove will become part of Microsoft's Information Worker Business unit, and will continue to be based out of its Massachusetts headquarters. Company officials declined to disclose the financial terms of the deal. infoworld