Yahoo, facing a possible hostile takeover bid, has announced plans to play catch-up with the likes of Facebook and Myspace by rewiring links between its existing users. Chief Technology Officer Ari Balogh said that the company would be “building social into everything we do”. He reckons that Yahoo can gain market advantage by exploiting the 10 billion latent connections between its 500 million existing customers, and to have all of that information controlled by a single user console. Yahoo tested the social networking world a few years ago when it acquired Flickr, but seems to have dropped the ball on the scarily-prevalent I’ve-got-more-pretend-friends-than-you aspects of the World Wild Web in recent years. Yahoo-users can expect to be bombarded with even more ads than normal when the social side of the site is up and running, as Yahoo has recently signed a $100 million cross advertising deal with CNET
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