Yahoo sells Delicious to YouTube founders

YouTube founders Chad Hurley and Steve Chen are buying Delicious from Yahoo.YouTube founders Chad Hurley and Steve Chen are buying Delicious from Yahoo. By Laurie Segall, staff reporter


NEW YORK (CNNMoney) -- After months of limbo, the fate of Web bookmarking service Delicious has been decided: YouTube founders Chad Hurley and Steve Chen are buying it from Yahoo.

It will become part of their new Internet company, AVOS. Financial terms of the deal were not disclosed.

"As creators of the largest online video platform, they have firsthand experience enabling millions of users to share their experiences with the world," Delicious wrote in a blog post on Wednesday announcing the deal. "They are committed to running and improving Delicious going forward."

In December, a leaked screenshot of an internal webcast by Yahoo Chief Product Officer Blake Irving displayed Delicious as one of many products slated for "sunset."

The site's operators immediately announced plans to explore a variety of options outside of Yahoo, which bought Delicious in 2005.

"While we have determined that there is not a strategic fit at Yahoo, we believe there is an ideal home for Delicious," the company said on its blog after the leak.

Although the bookmarking site, which launched in 2003, has a cult fanbase, Internet traffic tracker Compete has shown a steady decline in traffic over the last seven months.

But that might be turning around.

In March, the site saw its first increase in unique visits since July 2010. Around 567,000 unique users visited Delicious in March, up from 504,000 in February.

Yahoo (YHOO, Fortune 500) will continue to operate the service until July 2011, when it will officially transfer to AVOS.

"We wanted to find a home for the product where it can receive more love and attention. We think AVOS is that place," Delicious wrote on its blogTo top of page

Frontline troops push for solar energy
The U.S. Marines are testing renewable energy technologies like solar to reduce costs and casualties associated with fossil fuels. Play
25 Best Places to find rich singles
Looking for Mr. or Ms. Moneybags? Hunt down the perfect mate in these wealthy cities, which are brimming with unattached professionals. More
Fun festivals: Twins to mustard to pirates!
You'll see double in Twinsburg, Ohio, and Ketchup lovers should beware in Middleton, WI. Here's some of the best and strangest town festivals. Play
Index Last Change % Change
Dow 16,864.48 -121.13 -0.71%
Nasdaq 4,379.09 -39.94 -0.90%
S&P 500 1,959.97 -12.86 -0.65%
Treasuries 2.51 -0.04 -1.49%
Data as of 10:46am ET
Company Price Change % Change
CBS Corp 62.30 -1.63 -2.55%
Bank of America Corp... 15.44 -0.16 -1.06%
Facebook Inc 63.85 -1.12 -1.72%
Apple Inc 94.57 -0.82 -0.86%
Micron Technology In... 32.53 -0.36 -1.09%
Data as of 10:30am ET

Sections

7-Eleven is giving away free Slurpees. For more free food, just download their app. More

Hispanics make up 16.3% of the U.S. population but own only 2.2% of the wealth. More

Guy Franklin maps Israeli startups in his spare time, both to highlight how fast they're popping up and to change the conversation about Israel. More

At St. Joseph's Abbey, the monks realized if they wanted to stay self-sustaining, they'd need a new revenue stream. So they turned to beer. More

American high school students are less money smart than their peers in countries ranging from China to Estonia, according to an international report released Wednesday. More

Market indexes are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer Morningstar: © 2014 Morningstar, Inc. All Rights Reserved. Disclaimer The Dow Jones IndexesSM are proprietary to and distributed by Dow Jones & Company, Inc. and have been licensed for use. All content of the Dow Jones IndexesSM © 2014 is proprietary to Dow Jones & Company, Inc. Chicago Mercantile Association. The market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. FactSet Research Systems Inc. 2014. All rights reserved. Most stock quote data provided by BATS.