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Yahoo! Inc. (NASDAQ: YHOO) has lost another high-ranking executive -- and this one is a doozy. Richard Frankel, the man in charge of behavioral targeting and marketing, has become Chief Operating Officer of SocialMedia Networks.

SocialMedia is currently the largest company supplying targeted advertising services in social media applications. As those who have followed the explosive growth of MySpace and Facebook can attest to, advertising in social applications -- web applications -- is turning into hot territory. Will it last, or is social media destined to become the web fad of the decade? There is endless debate on that one in my head, regardless of the media headlines that scream "Web 2.0" is the wave of the future.

Frankel leaves Yahoo! as the company has continued languishing in the ultra-successful presence of Google Inc. (NASDAQ: GOOG), while remaining very profitable. The problem is, it's not nearly as profitable as it should be -- according to critics -- in the face of being one of the top web properties on the face of the planet.

Yahoo!'s revolving door in the last 14 months has done little to change the company, according to reports. While Google is the ultimate risk-taker (and can afford to be), Yahoo!'s risk aversion continues to make the company operate in a status quo at a time when the competition is not. Frankel's departure is yet another hit to whatever strategy Yahoo! has in store for 2008.

Yahoo! loses advertising exec to SocialMedia Networks originally appeared on BloggingStocks on Mon, 28 Jan 2008 14:00:00 EST. Please see our terms for use of feeds.

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