Yahoo and Facebook: perfect fit or more like shoehorning a square peg in a round hole?

September 21, 2006

So the news out today is that Yahoo may be the one to acquire Facebook. After all the talk of approaches and talks with Microsoft (amongst others) it seems Facebook may be ready to roll over and submit to one of the webs bigger properties.

The idea makes me ponder whether it is really a good fit for Yahoo or just an opportunistic attempt to buy Facebook before someone else. It’s a good way to gain exposure for those adverts that sales have been dwindling of and a great way to leapfrog onto the social networking ladder. But is Yahoo being rash in going for Facebook?

I’ve always had my doubts about Facebook, the offering is good, but the stories coming out of the camp were less than encouraging. Perhaps Yahoo is what’s needed to propel them up the traffic grabbing ladder nearer to Myspace.

If I was Yahoo, I’d be looking for acquisitions that I can neatly suck into my already huge infrastructure and integrate easily with all my other services. Facebook may not be that easy to integrate properly! So will it stay a separate entity and just serve as another place to get valuable ad impressions, or does Yahoo have a cunning plan of action up its sleeve (possibly a social tech/finance/news/map/travel portal would be nice)? I’m hoping the latter because I do have a soft spot for Yahoo as they’ve been on my radar for so long now they’re like a nice comfy internet sofa.

Of course, this could just all be hype generated by their marketing agency in preparation for IPO or just to get people blogging about them. Whoops!

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