del.icio.us Integrated Into Yahoo! Search Results (Finally)

Michael Arrington has broken this extremely important story of Yahoo! integrating del.icio.us results into the search engine results on a test basis.

As many of you might recall, founder Joshua Schachter (who has not yet bookmarked my blog in del.icio.us) sold del.icio.us to Yahoo! in December, 2005 making Fred Wilson a happy man.

Many people in the search engine community tell me at conferences that other search players have actually been getting more value from del.icio.us since the acquisition because they have crawled del.icio.us. If Yahoo! were to hire me as a consultant, it’s something I might want to do some testing and learning with to see how it would affect the competition.

To test this theory, I registered a domain last Summer and tossed it on a host and had a few friends post a del.icio.us entry but gave the site no other links and checked it once a week. The following engines indexed the domain in this order: Google, Live.com/Msn, Yahoo! and then Ask. A few weeks ago I noticed a significant shift in some Yahoo! rankings and now it made sense now that this change is apparent.

Just in case you’re wondering good tags for my blog in del.icio.us are – chicago gsb mba marketing business development startup executive seeking venture capital funding – for a limited time every person who bookmarks me with those tags and emails me (see my Chicago gsb marketing bio for the email) with a the del.icio.us page and their blog, I will add a link to them in the bottom of this post. One exception to this currently would be Jason Calacanis (whom I wouldn’t actually consider linking to until he returned my phone call from October when I was in Santa Monica). :)

So why did this take so long? This is a good question. You may recall all the hub bub in 2006 about Yahoo! building modular programs that could be easily swapped out. This obviously has taken considerably longer to complete than the initial estimates. But this is a sign of a much needed glimmer of light eminating from Yahoo!

Analysis:

– Good move for Yahoo! overall in terms of relevancy (though this did not need it to be visible?).

– This move is not without a significant risk. What if Yahoo! users were to migrate enmass to del.icio.us and make it their default search engine? It’s not monetized. If this scenario were to occur in the current state Yahoo!’s earnings would take a serious hit. Robert Peck at Bear Stearns should most definitely analyze this scenario.

– The display of the del.icio.us social media result might prove distracting to the user and users may defect to other search engines.

– This may attract more del.icio.us spam activity.

What do you think of this move by Yahoo! to test integration of del.icio.us into Yahoo! search results?

Links from del.icio.us pages project:

Bryson Meunier from Chicago has bookmarked me in del.icio.us

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