Yahoo!'s Delicious Deal

Followers of Yahoo! (Nasdaq: YHOO  ) know that the company's been on a shopping spree recently, buying up some of the best and brightest small Internet companies. This weekend brought yet another purchase, as word leaked out that Yahoo! had acquired a company called Del.icio.us.

What's Del.icio.us, you ask? I didn't know at first, either. It turns out that Del.icio.us is a "shared memory" site, where folks can share their favorite Internet bookmarks with one another. When users add a site they like to their Del.icio.us list, they can "tag" it with their own custom keywords, making those sites easier to find for users with similar interests. According to Reuters, it is a service that feeds into the Web 2.0 idea, which posits that the Web is moving toward sites that focus on collaboration among users.

Interestingly, Reuters pointed out that Amazon.com (Nasdaq: AMZN  ) was one of Del.icio.us's venture capital funders. Del.icio.us only employs nine people, and the acquisition price is apparently so low as to be unworthy of note when it comes to Yahoo!'s financials. Still, it looks like another smart buy, and a wise trend overall on Yahoo!'s part.

Other recent Yahoo! moves in the area of community-based sites include its swallowing up Flickr, a photo-sharing site, and its recent acquisition of another small collaborative service, Upcoming.org.

It's clear that Yahoo! is working hard to offer hot services that will lure users from formidable competitors like Google (Nasdaq: GOOG  ) and Motley Fool Inside Value pick Microsoft (Nasdaq: MSFT  ) . Yahoo! may have its work cut out for it -- and there's always the challenge of getting acquired services quickly and easily integrated -- but the company's investors are likely glad that Yahoo! is trying to spearhead some of the Web's hottest trends.

We've tagged further Foolishness:

Amazon.com is aMotley Fool Stock Advisorpick. Take a peek at David and Tom Gardner's bookmarked list of stellar stocks with a 30-day free trial.

Fools, now is the time to open your hearts and wallets to worthy causes! Please support our five Foolish charities atwww.foolanthropy.com.

Alyce Lomax does not own shares of any of the companies mentioned.


Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 498579, ~/Articles/ArticleHandler.aspx, 9/21/2014 2:29:45 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement