Yahoo’s order of business for today continues a nearly one year trend of trimming the fat, and simplifying the direction of the company. Right after Kara Swisher of All Things Digital reported that Yahoo is selling Zimbra, an email and calendar software provider it bought in 2007, Yahoo’s next product to be put up on sale is Yahoo Small Business, a business hosting service offering domains, email, web hosting and other services.
Yahoo is also hoping that it will bring in about $500 million for Yahoo Small Business and has already received feelers from interested buyers and private equity firms … although according to Reuters, nobody has seem to made an offer yet. Possibly because the selling price of $500 M may not be reasonable considering that there will be other companies who can offer the same services as those of Yahoo Small Business, for more affordable pricing.
I’m very thrilled to see Yahoo dumping the side businesses it has either acquired over the years, or built out, including stakes in Alibaba.com which were sold last week, Zimbra (which had A LOT of potential) and now Yahoo Small Business. What will be interesting however to see if Yahoo makes a move unloading either Flickr or Delicious.com, which marked the legitimacy of social media after their acquisitions by Yahoo and have their own extremely loyal following.
Both properties assist with search, since Delicious.com identifies new sites, popularity and their real-time relevancy based upon bookmarking and tagging of data. Likewise, Flickr *Interestingness* models and search data also was assisting Yahoo Search and may continue to provide much needed data for Microsoft Bing. I would imagine that instead of moving these properties on the open market, which would surely bring in Google as a bidder, Yahoo will more than likely lease out the data from these to Microsoft, or use the additional trend and external meta data from Delicious and Flickr to customize the Bing powered results within Yahoo Search, in a similar fashion that AOL has done with Google powered results.