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Confirming recent rumors of another coming reorganization, Yahoo today announced its plans to centralize many of its product and engineering teams into one regional group in the U.S., rather than maintaining separate divisions for each set of products.

Yahoo is creating three new teams that will report to President Sue Decker:

1. An Audience Products Division will assume responsibility for companywide product strategy and product management. It will be led by Ash Patel who previously managed the company’s Platforms & Infrastructure group.
2. A U.S. region with accountability for all go-to-market activity in the U.S. will be led by Hilary Schneider, who previously headed the company’s Global Partner Solutions group.
3. An Insights Strategy team will assume responsibility for centralizing and executing a common strategy for the use of data and analysis across Yahoo. The company plans to name this group’s leader within the next few weeks.

According to Decker, these moves have been in the works for several months, and complement last year’s changes to centralize more of Yahoo’s business.

“The changes we’re making today will help deliver superior global products for users and enable faster and better decision-making,” Decker said in a statement. “This is a logical next step in light of our success last year in moving to a more centralized approach to developing world-class marketing products. We have planned these changes deliberately over the past several months to clarify responsibilities and to capitalize on the scale advantages while allowing for fine tuning to meet local market needs.”

Yahoo has restructured its search group, which recently lost SVP and General Manager of Search Vishal Makhijani to Russian search engine Yandex. Prabhakar Raghavan has been tapped to direct search strategy, and Tuoc Luong is the interim leader of the search product team. Both Prabhakar and Tuoc will also continue in their roles as the leaders of Yahoo! Research and Search Engineering respectively. In addition, David Ku will lead the Advertising Technology Group within Search.

Yahoo is also making changes to its technology organization, devoting resources to developing a cloud computing and storage infrastructure; moving more of Yahoo onto common platforms; and creating a stronger partnership between product and engineering teams.

The new Cloud Computing & Data Infrastructure Group will be charged with developing a computing infrastructure that balances scalability with cost effectiveness. It will also move all consumer-facing platform teams to the Audience Technology Group, led by Venkat Panchapakesan.

There seems to be a few cities in Texas that want the online travel industry to ante up millions of dollars in lost tax revenues - and there is a possibility this could move to the other states. Houston and San Antonio - guess Dallas would be next if the decider is towns with NBA teams - have filed suit against online travel companies for not paying the right amount of occupancy taxes dues.

“Hotels in Houston must remit to the city the hotel-occupancy tax of 7 percent, based on the price at which they sell rooms. The city uses the money to promote tourism and to pay off debt for Reliant Stadium, Toyota Center, Minute Maid Park and the Hilton Americas convention hotel”.

‘The city took in more than $57 million in the occupancy taxes in 2007,” a Houston City official told the Houston Chronicle.

“On Tuesday, a federal judge granted San Antonio’s motion for class-action certification in its lawsuit against 16 companies including Hotels.com, Expedia.com, Priceline.com and Orbitz. The San Antonio suit alleges the online companies collect hotel tax at the retail rate but only pay taxes on the bulk wholesale rate they are charged, ” WebProNews reported

Obviously the travel industry is claiming increased costs will have an impact on tourism. That is absolutely true, while the local governement may not collect the taxes and does lose - the money comes in the pockets of those who visit and thus the average spend of the customers will be less. So maybe the local chamber of commerces should think about that and talk to the mayor.

Bookings will be down slightly because of higher prices - even though the prices will just increase across the board so people will not recognize the jump. Either way in a time of high gas prices actions like this will only hurt the travel industry as a whole. There are not many travel agencies left and few would be looking to invest in one right now.

The U.S. government charged a mother who allegedly used MySpace in a deadly hoax that drove her daughter’s 13-year-old classmate (pictured here) to suicide with conspiracy.

Missouri resident Lori Drew, after her daughter’s schoolgirl fights with neighbor Megan Meier, 13, created a fake MySpace account to pose as a boy and flirt with Meier. When Drew began using her online identity to taunt Meier, the girl hanged herself.

The boy Megan had been corresponding with on MySpace unexpectedly began calling her a fat slut. He wrote “the world would be a better place without you.” It turns out he was a hoax created by the mother of a former friend.

Drew was indicted today for conspiracy and accessing protected computers without authorization to inflict emotional distress. She faces 20 years in prison, the maximum penalty.

“Any adult who uses the internet or a social gathering website to bully or harass another person, particularly a young teenage girl, needs to realize that their actions can have serious consequences,” Los Angeles federal prosecutor Thomas O’Brien, who brought the charges, said in a statement.

The case was filed in California, where MySpace is headquartered.

The suit goes a long way toward establishing and enforcing the boundaries of acceptable and illegal behavior on the Internet in general and social media sites in specific.

Microhoo bid raised aloft; Google-Yahoo Kool-Aid quaffed. “No Mas” cried Ballmer’s Microsoft.

Yahoo drank the Google paid search Kool-Aid to fight off Microsoft, leading the Redmond giant to retract its higher bid to acquire the Sunnyvale search engine. Microsoft reportedly offered $33 a share, and Yahoo held fast at $37 a share. That was too rich for Steve Ballmer’s blood. The prospect of Yahoo outsourcing its paid search to Google was also too much for Ballmer to stomach.

So Microsoft walked. In a letter to Jerry Yang (full text below), Steve Ballmer cited Yahoo’s intention to outsource search as the primary reason he decided to scotch the deal.

Of course that doesn’t mean enraged Yahoo! shareholders won’t sue Yahoo.

Ballmer wrote, “I hereby formally withdraw Microsoft’s proposal to acquire Yahoo!.”

Here’s why, according to Microsoft’s business logic:

Advertisers would use Google rather than Yahoo! Panama to manage paid search, fragmenting not only PPC but display advertising and the Yahoo! advertising ecosystem.
Yahoo then wouldn’t be able to retain talented engineers working on advertising systems - engineers whom Ballmer considers a key aspect of Yahoo’s attractiveness.

The decision would also create a morass of regulatory and legal problems that no acquirer - especially Microsoft - would want to slog through. Ballmer believes search market share of the combined Yahooo-Google deal would reduce competition and advertiser choice.

Ballmer took the argument one step further, stating the deal would “effectively enable Google to set the prices for key search terms on both their and (Yahoo!) search platforms and, in the process, raise prices charged to advertisers on Yahoo.

While it would be hard to prove a keyword-auction would enable Google or any search engine to “set prices,” the deal would increase keyword prices based on Google’s ability to monetize inventory more efficiently.

Yahoo responded by promising (again) to maximize shareholder value and pursue strategic opportunities. Yahoo still maintains Microsoft undervalued the company.

Yahoo! banged the drum (again) about:

“– a refined strategic focus to drive enhanced volume and yield;

– reorganized to focus its efforts on its most promising products and services;

– invested in innovations designed to revolutionize display advertising and facilitate closing the competitive gap in search; and

– enhanced expense and resource management to support improved profitability.”

As Jerry Seinfeld might have said, “Yadda, Yadda, Yadda, Yahoo.”

Be prepared Monday for Yahoo shares to plummet back to earth. (Full text of Steve Ballmer’s statement after the jump.)

Click to read the rest of this post…

A 24 year-old woman who used a YouTube video to accuse 3 male youths of raping her has been arrested by Scotland Yard after it was determined the video was a scam and the woman is now charged with suspicion of underage sex and perverting the course of justice.

YouTube had been criticized for allowing the video to be published and how long it took them to get it down.

Two of the boys accused were 16 and one was 14, their arrest for rape had been dismissed and no further action will be taken, according to the UK Sun.

In the video the woman looked like she was drugged and then assaulted, the Sun stated.

To some, it appears that Google has painted itself into a corner with its reliance on linking for its ranking algorithm. The lines between legitimate SEO, paid links, and Google bombs are becoming increasingly blurred.

One highly-charged example is the case of Jew Watch News, an anti-semitic hate site that managed to get top ranking for the query “Jew.” Several Jewish and anti-defamation groups joined together in a coordinated Google bombing campaign to push that result down in the SERPs, and the results of that bomb can still be seen today.

In today’s SearchDay, “Google Bombs, Jew Watch News & the Hypocritical Linking Universe,” Marty Weintraub looks at that Google bomb, and tries to find where a Google bomb meets SEO, and where paid links fit into the picture.

Jason Calacanis has owned the front page of Techmeme–the world’s most influential technology and Web 2.0 news aggregator–for the past 18 hours and counting.

Another Civil War in Silicon Valley? Well, it’s war anyway–even if not civil.

Aussie Duncan Riley of TechCrunch fame bodyslammed Jason after his Calacanis.com post on how to run a startup. Duncan said “Calacanis Fires People Who Have A Life.” So far, 164 comments on TechCrunch about firing anyone who’s not a workaholic …

Jason got up off the canvas, charged his opponent Valleywagged, and parried Duncan’s jabs by updating his post, How to save money running a startup by revising his VC deathmatch coda. http://www.calacanis.com/2008/03/07/how-to-save-money-running-a-startup-17-really-good-tips/

By then Duncan had tagged out: Allen Stern delivered a sidekick to Jason’s solar plexus that sent him all the way to Starbucks country: Working at Mahalo is Like Prison Except We Gots Better Coffee.

Jason Calacanis “Electrified Cage Deathmatch Bar Room Brawl” at SES New York in the SOLD OUT (Not Paris) Hilton in New York the day after St. Patrick’s Day.

Note: See it live! SES On Demand Video will be available to Search Engine Watch members only after the SES New York Deathmatch.

Celebrities on the front row: Kevin Ryan, John Battelle, Andrew Tomkins, Nick Carr, Gordon McLeod and many, many more.

Tickets on sale now!

In this evolutionary algorithmic age every search marketer charged with boosting rankings on the organic SERPs knows, with fearful certainty, that building inbound links is essential. Utilizing social media communities to do so is a front-and-center tactic for many.

Sure, we’re all aware of mainstream players like Facebook, MySpace, YouTube, LinkedIn, StumbleUpon, Del.icio.us, Reddit, Propeller, etc…

However, there are hundreds of social communities other than the biggies. These niche’ player-communities can be terrific venues to engage readers of similar ilk, make friends, drive focused micro-busts of traffic, and build links. Some communities are junk. This post offers niche’ social site examples and provides links to lists which index and profile dozens of useful ones.

Dofollow and Nofollow
A quick word about Do/No follow. Most blogs (and many communities) these days attempt to discourage spam by removing "link-juice" passed on links dropped in discussion threads. That’s called "Nofollow." (Wikipedia is a classic example of Nofollow.) Nofollow links deliver traffic but there’s no SEO benefit. If you view the source code of this page, you’ll see that some of the social site links are Nofollow and therefore do not pass energy.

When evaluating the potential benefit of social community participation, it’s best practice to understand the objective and potential gain. Whenever a site, with decent Pagerank, "forgets" to turn off Dofollow, it’s an opportunity of sorts to build links of varying strength and value. The most important caveat is that gratuitous link dropping, without offering true value to the community, is spam and will likely be treated as such.

Every search marketing professional knows that garnering good quality, relevant, and "natural" inbound links to your site or blog is critical to drive your SEO ranking efforts. Honest participation in niche’ social communities, relevant to your product & services, is the tactic that many savvy SEMs reach for to build their site’s inbound link-profile. In addition to the community site links themselves, “hot” posts can result in feed subscriptions, increased readership, and links from other relevant and valuable sites.

Fark is a social news site in which moderators approve user link-submissions and post them to the homepage. The links are Nofollow but can drive noticeable traffic.

Slashdot is a community where techno-heads hang out and geek-jam. However, users submit stories about entertainment, politics, and other fun stuff. If editors approve a submission and it’s promoted the homepage, measurable traffic can result. Also, links in the body of each post are Dofollow and pass juice.

Metafilter is a moderated community, both by site administers and users, in which participants share interesting web content. Links are Dofollow.

Mixx is widely regarded as an up-and-comer in the social news world. A potentially mainstream Digg replacement site, many SEM folks had early-adopter Mixx profiles for fun and future marketing bang. Oh yes, they forget to turn off Dofollow so the links pass juice.

Hugg is a smaller community engaged in dialog surrounding environmental issues. There’s social exchanges about technology, politics, and science as well. Links are Dofollow.

Sk*rt is a Dofollow PR 5 fashion, food, and technology community, primarily comprised of females.

Stirr’dup is a smaller NoFollow social news site which categorizes news as technology, entertainment, news and politics.

Linkinn is a PR5 site specializing in offbeat video and pictures. Links are DoFollow and pass juice.

Lists of Useful Social Media Sites:

48 Social News Websites: A List of General and Niche Social Media Communities
Tropical SEO: Top 38 Niche Social Media Sites (That Actually Send Traffic)

Respected blogger Sugarrae has posted a serious interview with industry leading link-building experts and is a must-read. Interviews include:
Eric Ward, the Link Moses behind URL Wire
Rand Fishkin from SEOMoz
Roger Montti, the founder and owner of martinibuster.com
Todd Malicoat of Stuntdubl and Clientside
Justilien Gaspard, Link Columnist for SearchEngineWatch.com, his link building blog and course author SEMPO Institute
Aaron Wall of SEO Book and Clientside SEM
Debra Mastaler of Alliance Link and the The Link Spiel
Michael Gray of the Graywolf SEO Blog
Andy Hagans, the lazy SEO of the Tropical SEO Blog
Jim Boykin of We Build Pages and Internet Marketing Ninjas
Rae Hoffman, CEO of Sugarrae and MFE Interactive

Yahoo wants to beef up its leading Finance site with videos, and will add CNBC content to the mix.

On the Internet, Yahoo Finance has been tops among financial websites. The site will provide a boost to cable channel CNBC, last seen chastising Yahoo over its Cyber Monday outage.
Doug McIntyre said at BloggingStocks the addition of [...]

Google has begun using its new PlusBox feature in local search results. The Local PlusBox appears as a plus sign and hotlink to a Google Map appearing after an AdWords ad in the top position at the top of the page.

When clicked, the PlusBox will expand right in the search results page, showing a [...]