Yahoo! is reported to be close to selling social bookmarking site Delicious for as little as $1m having bought it back in 2005 for as much as $30m.
The site, which was once described as one of the “important tagging properties on the web” lost its founder Joshua Schachter more than two years ago and its decline in terms of importance has mirrored that of Yahoo!.
When Schachter left he complained of being “sidelined by the decisions of my management”. In the same year investors had labelled Yahoo’s management as ‘pathetic’.
Schachter’s exit followed that of Stewart Butterfield, the founder of photo-sharing website Flickr, which Yahoo also bought before it entered a long and sustained period of malaise from which it has not recovered. Its troubles are neatly summed up in this rise and fall of Yahoo! infographic.
According to Business Insider Delicious is being sold to a strategic partner that could be StumbleUpon.
“Our source isn’t sure what company is buying it, but says it’s a “strategic partner,” something like StumbleUpon. StumbleUpon just raised a fresh $17 million round, so it could easily afford Delicious. We called StumbleUpon for comment and haven’t heard back.
“Yahoo’s plan to get rid of Delicious leaked in December. The reason the sale is taking so long is Delicious infrastructure is entirely reliant on Yahoo technology. Yahoo has been taking Delicious off its infrastructure,” Business Insider reports
The site adds that despite being highly regarded Delicious “has zero monetization”.
Earlier this year Bing overtook Yahoo! to challenge Google in the search wars.