Nial Kennedy threw down some of the first coverage of Yahoo!’s acquisition of del.icio.us last week.
Del.icio.us will most likely be integrated with existing Yahoo! Search property My Web. My Web allows Yahoo! members to tag search results for discovery through a defined social network (Y!360) or all Yahoo! users. Yahoo! will use del.icio.us bookmarks to better inform personalized search results throughout its services. Its ability to combine signals of relevance from search result click-throughs to a listing of sites bookmarked and classified will lead to increased use of Yahoo! Search and its related services while driving more targeted advertising, demanding higher advertising rates.
Om Malik followed up with some guesses at the sale price (among other things):
[in an earlier round of financing] the company had raised $1.3 million, and if that got the VCs around 25% of the company, my guess is the final price is between – $10 and $15 million. I am speculating here, and have no information. So treat it like that… simple speculation.