http://www.washingtonpost.com/wp-dyn/content/article/2010/06/01/AR2010060100577.html?wpisrc=nl_pmtech

Yahoo to turn subscribers' e-mail contact lists into social networking base
      

By Cecilia Kang
Washington Post Staff Writer 
Tuesday, June 1, 2010 


Yahoo plans to announce Tuesday that it is jumping into social networking by 
using its massive population of e-mail subscribers as a base for sharing 
information on the Web. 

Over the next few weeks, its 280 million e-mail users will be able to exchange 
comments, pictures and news articles with others in their address books. The 
program won't expose a user's contact list to the public, as was done by Google 
through its social networking application, Buzz. But unless a user proactively 
opts out of the program, those Yahoo e-mail subscribers will automatically be 
part of a sweeping rollout of features that will incorporate the kinds of 
sharing done on sites such as Facebook and MySpace. 

The plan could spark criticism from Yahoo e-mail users, who signed up for the 
free service perhaps never imagining the people they e-mailed would become 
friends for sharing vacation videos, political causes and random thoughts 
throughout the day. And the move comes amid growing concern by federal 
lawmakers and regulators over how firms such as Facebook, Google and Microsoft 
have handled the privacy of Internet users. 

After backlash, Facebook last week announced new privacy tools to make it 
easier for users to block Web sites from tapping into their information, as 
well as a simpler way to configure who on the site can see personal data. Rep. 
John Conyers Jr. (D-Mich.), chairman of the House Judiciary Committee, asked 
Facebook on Friday to explain what kind of user data it had shared with 
third-party sites. Conyers also asked Google to retain, for federal and state 
regulators, the data the company scooped off WiFi networks as it collected 
Street View mapping photos around the country. 

To allay privacy concerns, Yahoo said it would give users a week's notice 
before launching the new features and provide a single button on the site for 
opting out entirely. 

"We've been watching and trying to be thoughtful about our approach," said Anne 
Toth, head of privacy for Yahoo. 

Specifically, the company will launch a product called Yahoo Updates that 
allows e-mail users to see what other contacts on their lists are commenting 
about or sharing on sites like Yahoo Finance, Facebook and the photo sharing 
site Flickr. Updates will initially include 15 sites and partnerships and will 
eventually expand to include partners such as Twitter this summer. 

Yahoo has tiptoed into social media, launching a similar tool last year called 
Connections, which allowed each user to customize a list of contacts with whom 
to share information. The company also tried two years ago to build a 
competitive product to Facebook, where users sought "friends," or contacts, to 
join micro-networks within Yahoo in the same way Facebook users amass friends 
through requests. Yahoo abandoned that project and instead decided to tap into 
its captive audience of e-mail users. 

The move is part of a revamping of the once-rudderless Internet pioneer. Chief 
executive Carol Bartz, brought in last year to lead the firm, has stripped the 
company of unprofitable business units to focus on its greatest strengths -- 
its popular free e-mail and messaging programs, and its library of sports, news 
and finance sites -- to keep users in the Yahoo universe longer. 

The longer a user stays on the site, the more advertising dollars and 
e-commerce it generates. But it remains to be seen if users will view their 
contact lists as the kinds of people they choose to socialize with on the Web. 
When Google launched Buzz, some users complained that they used Gmail for 
business and to correspond with strangers and that they didn't want to share 
birthday videos with their plumbers or bosses. 

Yahoo will begin notifying users of the change on June 7, one week before the 
launch. Users who don't want to participate can click one button on the 
settings page to opt out. Or they can customize each piece of information -- a 
Facebook update or a comment on a Yahoo news story -- to either be shared with 
Yahoo e-mail contacts or Facebook. Eventually, Twitter and other partners with 
social-networking platforms will also be included. 

"What Yahoo has done is recognized that your e-mail or messenger network is a 
useful resource and that you may be interested in knowing what your contacts 
are interested in knowing about, and they stop there," said Jules Polonetsky, 
the director of the Future of Privacy Forum, a privacy think tank. "That's 
opposed to the idea that then, therefore, your relationship with them risks 
being exposed." 


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