Article from SFGate.
“Yahoo sold its bookmarking service Delicious to YouTube founders Chad Hurley and Steve Chen, part of a plan to offload underperforming sites.
The service will become part of Avos, a new Internet company, Hurley and Chen said Wednesday in a statement. Hurley is the chief executive officer of the new business.
“We’re excited to work with this fantastic community and take Delicious to the next level,” Hurley said. “We see a tremendous opportunity to simplify the way users save and share content they discover anywhere on the Web.”
Sunnyvale’s Yahoo, more than two years into a turnaround by CEO Carol Bartz, is selling off businesses and trimming staff to generate more profit. Earlier this year, it announced plans to cut about 1 percent of its staff, after a decision to eliminate about 4 percent, or about 600 jobs, in December. The strategy helped first-quarter earnings top analysts’ estimates this month.
“As we have said, part of our product strategy involves shifting our investment with off-strategy products to put better focus on our core strengths and fund new innovation,” Yahoo said in an e-mailed statement. “We believe this is the right move for the service, our users and our shareholders and look forward to watching the Delicious technology develop.”
The YouTube founders plan to “aggressively hire” to improve the service, making it easier to use. Hurley and Chen are relocating Delicious to San Mateo, near where they started YouTube.”
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