In the end, Yahoo! concluded a deal with Four11 for $96 million.
We had a great cultural fit – it made a lot of sense." The real point in acquiring Four11 was that in March 1997, the company had launched Rocketmail, a webmail system that could be offered to users.
Marvin Gavin, who worked at Four11 as director of international business development said, "We always had a bias about being acquired by Yahoo! They were more entrepreneurial than Microsoft. Yahoo! made a deal with the online communications company Four11 for co-branded white pages. In the end, Microsoft ended up buying Hotmail for US$400 million and AOL bought Mirabilis for $288 million. Yahoo!, however, passed on both companies as they were too expensive for Yahoo! at that time. When Hotmail and Mirabilis (the creator of the instant messenger ICQ) were looking to be bought, Yahoo! was the first company to which both made offers. Email became one of the most important features of a Web company as it would mean regular visits from email users to the website. The growth in the number of Internet users eventually boosted the email technology, but also created a very competitive environment where the winner was the first company to launch a successful email service and attract potential users. On June 27, 2009, Yahoo! Messenger was integrated with Yahoo! Mail. In early 2008, Yahoo! started offering unlimited mail storage to its users, in response to heated competition in the free-web mail market segment. In May 2011, beta testing for the new version stopped, and it became the default interface for Yahoo! Mail. In October 2010, Yahoo! released a new beta version of Yahoo! Mail, which included a new design, improved performance, improved search functionality, and improved Facebook integration. A new version introduced in 2005 included a new Ajax interface, drag-and-drop, improved search functionality, keyboard shortcuts, address auto-complete, tabs, and more. The traditional "Yahoo! Mail Classic" continues the availability of the original interface introduced in 1997. Ĭurrently, Yahoo! offers three versions of Yahoo! Mail. It was inaugurated in 1997, and, according to comScore, Yahoo! Mail was the second largest web-based email service with 310 million users as of October 2011, and the most popular webmail service in the United States. Yahoo! Mail is a free e-mail service offered by the American search engine company Yahoo!.
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