Google: Flickr Can Keep Using Picnik. Yahoo: We Have No Comment.
MG Siegler
Mar 1, 2010

Earlier today, in writing about Google buying the photo-editing service Picnik, we noted that the most interesting thing about the buy may be that Picnik is currently Flickr’s default photo editor. Upon hearing the news, we reached out to both Google and Yahoo (which owns Flickr) to see what it means for the future of the partnership. The responses were interesting.

Google, for its part, says that it will allow third-party sites (including Flickr) to continue to integrate with it. Here’s the statement they sent us:

We believe that openness is always the best approach and will allow third-party sites to continue to integrate with Picnik.  People should be able to pull photos from other photo sharing sites, make edits with Picnik and save to whatever site they choose.

That sounds good, right? Well, it doesn’t sound like anyone bothered to tell Yahoo. Here’s their statement (from OutCast Communications, which does Yahoo’s PR):

Thanks for getting in touch. At this point we don’t have a comment on the acquisition, but will let you know when and if we have information to share.

If Yahoo was going to continue the Picnik relationship, don’t you think they’d come out and say so. Or at least say something like, “at this time, we see the relationship continuing.” Instead, it looks like they may be weighing their options. Or maybe they just don’t really know how the acquisition will affect things yet.

The problem is that Picnik is currently the only way to do that majority of edits on Flickr. Without it, the product as a whole becomes less valuable. So will Yahoo have to build its own photo-editor (which they obviously were against before, or they would have done it rather than partner with Picnik)? Or will they partner with someone else — maybe Aviary?

Regardless, Google has a history of acquiring companies and then letting their products wither (Dodgeball, Jaiku, etc). Let’s hope that’s not the case here, and that Picnik is at the very least integrated into Picasa (Google’s online photo service), because it’s a solid service.

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  • WildSubnet

    Or maybe…Yahoo just doesn’t know anything yet. Since this was announced today.

  • http://www.facebook.com/profile.php?id=867055454 Darryl Wright

    You seem to draw a lot of conclusions from non-news. Why not wait until they do comment before reporting the story?

  • http://parislemon.com MG Siegler

    you dont think picnik had to run this buy their partners?

  • http://giveupinternet.com GiveUpInternet.com

    I wonder why Google still buy small applications instead of creating better ones that matches their needs more. What makes picnic that important?

  • wadenick

    MG – possibly. That depends on whether or not they had formal “first right” clauses in agreements with those such as Yahoo/Flickr. You’re implying that they did. It’s fairly standard policy for a corp to not comment, at least, until they’re sure what may transpire. That is likely not there for Yahoo/Flickr as yet.

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  • http://www.highlyrelevant.com/ Alex Becker

    Google’s always getting the upperhand on Yahoo. Poor Yahoo!

  • jimjerky

    Yeah MG, Picnik announced their M&A strategy to Yahoo *before* the deal was announced. Highly doubtful MG.

  • bob

    Microsoft: Whats Picnik?

  • http://www.hogargeek.com/google-adquiere-el-editor-de-imgenes-online-picnik/ Google adquiere el editor de imágenes online Picnik | Hogargeek

    [...] la competencia de Yahoo a Picasa. Google ha dicho que Flickr puede seguir usando Picnik, aunque Yahoo hasta ahora no ha comentado nada. Es posible que estén planeando una alianza con otro editor de imágenes ahora que Picnik [...]

  • Harris Teeter

    Huh? Walmart does not acquire companies habitually

  • http://www.techwankers.com Techwankers

    Classic MG.

    “If Yahoo was going to continue the Picnik relationship, don’t you think they’d come out and say so. Or at least say something like, “at this time, we see the relationship continuing.””

    More unsubstantiated conclusions. Seriously, “at this time, we see the relationship continuing.” – this is a big assumption to make without any data, that can potentially backfire for any companies.

  • http://www.facebook.com/profile.php?id=618365027 Varun Krishnan

    Should i just stop using flickr and stop renewing my pro account ?

  • wadenick

    If Yahoo/Flickr had a first right of refusal in their agreement, as a tight partner, then MG’s point in the comment above is that they would have been notified that an M&A offer has been received, and would they like to counter? Assuming all parties follow contracts, that is. Those notifications do not specify who is making the offer, just that one is on the table.

  • http://ananthsreflections.blogspot.com Ananth

    I have used picnik and it is the best free online photo editing service out there. I have tried dozens of others but none match the simplicity of use of picnik. Google, please don’t kill this.

  • M

    Poor Yahoo indeed. Love GOOG striking at their core. First Teracent which powers 100% of Yahoo’s “Smart Ad” services. Now PicNik. YaPooh.

  • http://www.facebook.com/profile.php?id=709134 Jon Finegold

    How much did Fotoflexer’s value just go up. Yahoo! is probably on the phone with them now and will end up paying twice as much.

    Good one Bob!

  • http://www.facebook.com/profile.php?id=530819861 Anthony Clauser

    Easy. Talent inside the company.

  • http://www.facebook.com/profile.php?id=1634490004 Doug Mehus

    My thinking is, Yahoo! was strapped for cash and couldn’t see themselves affording to buy Picnik so why not let Google buy them? As long as Google continues to welcome third-party linkages through their API (Yahoo! is technically a third-party even if Flickr is Picasa’s competitor), Yahoo! probably thought, “why not? Google has to spend the money to maintain Picnik in its data centres and we don’t. More power to us.” Google gets to claim Yahoo! as a software partner. It’s a win-win. :)

    Or, maybe Google is too large and doesn’t see Yahoo! as a competitor but rather, just an irrelevant third-party partner and doesn’t care one way or the other? ;)

    Cheers,
    Doug

  • http://jp.techcrunch.com/archives/20100301google-flickr-yahoo-picnik/ Google:FlickrはPicnikを使い続けて結構です。Yahoo:コメントはありません。

    [...] [原文へ] [...]

  • kerry

    As long as the money is flowing, Y! ‘greatest’ CEO wouldn’t budge at all.

    I wouldn’t be surprised that on this year, FLickr will be sold too….

    Makes sense, doesn’t it…

  • http://www.happyendingonline.com adult toys for less

    There has to be a clause in the contact about conflict on interest. This really confuses me. They have to know

  • http://www.anuragsinghrana.com/blog Anurag

    “maybe Google is too large and doesn’t see Yahoo! as a competitor”

    In terms of photo-sharing sites, Flickr is the number one. I don’t understand how “Google is too large” makes sense. If you don’t see the number 1 as a competitor, you’ve probably given up right?

  • http://www.webdesigncool.com/google-poaches-flickrs-photo-editor-by-acquiring-picnik-its-on-but-not-really Google Poaches Flickr’s Photo Editor by Acquiring Picnik: It’s ON! (But Not Really) | Web Design Cool

    [...] Remarkably, no. Quoth the Google: [...]

  • http://www.electricpig.co.uk/2010/03/02/google-grabs-picnik-online-photo-editor/ Google grabs Picnik online photo editor | Electricpig

    [...] told Techcrunch: “We believe openness is always the best approach and will allow third-part sites to continue to [...]

  • http://it-fan.pl/picnik-w-rekach-google/ Picnik w rękach Google | IT-Fan.pl

    [...] Techcrunch.com & [...]

  • http://www.digitalovercast.com Kien

    Aviary would have been the better buy for Google – Aviary has a better portfolio of web apps. Hey Yahoo, buy Aviary.

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  • Eas

    Picnik was, as understand it, both profitable and bootstrapped without VC money, so this sale was unlikely to be driven by either the desparation of either the founders or the investors. As such, I don’t think it should be compared to the fate of various acqihires.

    I think this is really about consumer oriented cloud services. It’s both a way for Google to slurp photos out of peoples other online accounts, and a way to capture most of the value in photo hosting, which comes not from the hosting itself, but from comissions on photobooks and similar. Finally, it could provide an in on a rich source of content for Buzz.

  • http://beginnersphotojournal.wordpress.com/2010/03/02/picnik-and-picasa-web-albums/ Picnik and Picasa Web Albums « Beginner's Photo Journal

    [...] Yahoo! didn’t acquire Picnik considering how integrated Picnik was with Flickr.  Based on Yahoo’s response, I wonder if the Google acquisition was a surprise to Yahoo.  I’d bet that Yahoo! also made [...]

  • http://dailysocial.net/2010/03/03/akuisi-google-terus-berlanjut/ Akuisi Oleh Google Terus Berlanjut | DailySocial

    [...] besar. Ini akan menjadi medan pertempuran baru antara Google dan Yahoo! Masih seperti yang ditulis TechCrunch, kemungkinan apakah nantinya Flickr akan membuat aplikasi foto edit sendiri atau mereka akan [...]

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  • Fruity

    That’s because Yahoo had to run it by their mother, Ebay Inc., get permission on what to say. lol

    Spineless, do nothing, gut investor value company has been kneeling before EBay for years

  • Ilan Ben Menachem

    Should i just stop using flickr and stop renewing my pro account ?

  • Ilan Ben Menachem

    Aviary would have been the better buy for Google – Aviary has a better portfolio of web apps. Hey Yahoo, buy Aviary.

  • Ilan Ben Menachem

    I have used picnik and it is the best free online photo editing service out there. I have tried dozens of others but none match the simplicity of use of picnik. Google, please don’t kill this

  • http://www.facebook.com/profile.php?id=1568581681 Iquanyin Moon

    i think it was a great buy, from all angles. i find yahoo so incredibly irritating i recently ended my mail and flickr (with some months left on my flickr pro account). i shifted all photos to picasaweb.

    aviary: looks wonderful, but in a year i’ve not been able to figure out how to use it. it’s complicated, and i’m not alone in this.

    picnik: without any photo editing experience (and barely any web or simply photos experience) at all, i was able to do fantastic stuff with it. you must access thru non-flickr to have use of the good stuff, tho. for some reason, using it thru flickr you get barely any tools at all.

    i’d already decided before google’s purchase to go with picnic pro and picasa. google’s a great company with many useful services. yahoo’s in decline, and treats users poorly (tho they did grab some top quality partners, but they squander it).

    i’m glad to hear this, as long as picnik remains rubust. (google also acquired aardvark, a nice tool i’d been happily using all year on iphone, and it’s not languishing, so: good sign?)

  • Chloe

    I’m thinking of the same thing!!! I have Flickr membership because of Picnik. I like to be able to edit my photos and replace them on Flickr. Picnik has not been working on Flickr for days. Since Yahoo does not own Picnik (evidently), maybe nobody is going to fix the issue. Without Picnik, Flickr is kinda useless. Probably time for me to drop Flickr.

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