Friendster Strikes Deal With Yahoo Southeast Asia

More news from the social network Friendster. The site, which was acquired in December by Malaysian payments company MOL Global, has struck a deal with Yahoo Southeast Asia. The purpose of the deal is to integrate product features and cross-promote across both Friendster and Yahoo. Both Friendster and Yahoo stand to gain from the partnership as Friendster has a significant Asian audience and Yahoo also has a steady following in the regional area for certain web services.

Friendster, which was sold for just under $30 million, has over 90 million registered users and 90 percent of its daily traffic coming from Southeast Asia today. The partnership will involve a a new social application built by Friendster that will be prominently displayed on Yahoo Southeast Asia properties and a cross-promotion of Yahoo products on Friendster.

Yahoo Search will also feature results from Friendster user profiles and fan profiles, similar to the deals struck with Twitter and Facebook by the search giants. Friendster users will also be able to link their Friendster account to their Yahoo! account to share their Friendster network activity updates and inbox via their Yahoo accounts. So, users can check their Friendster account and send updates directly from their Yahoo homepage. Users will also be able to publish their Friendster network activity to Yahoo Messenger and other Yahoo applications.

The cross promotion between Friendster and Yahoo has already been implemented but the search results and activity update integration will be rolled out over the next few months.

Friendster, which was founded in 2001, has raised over $45 million in venture capital to date, and is sitting on some potentially lucrative IP. Friendster is no longer hot in the U.S. and still has members in the Asia/Pacific region. The social network, which just rolled out a much-needed redesign, appointed Richard Kimber as its new CEO, who used to head Sales and Operations in South East Asia for Google.

The partnership makes sense; and Friendster should be doing everything it can to try to own the user base in Southeast Asia, considering that the social network is performing poorly in other parts of the world.