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July 4, 2013

Yahoo Acquires E-Mail Management Start-Up Xobni for $70M

Yahoo is continuing its spending spree this week, snapping up e-mail and contact management startup Xobni Corp. for a cool $70 million.

The San Francisco-based firm is the third company to be purchased by Yahoo this week. Yahoo acquired fantasy-sports app creator Bignoggins Productions Monday and storytelling app Qwiki on Tuesday.

Although terms of the deal, announced Wednesday, were not disclosed, Bloomberg is reporting a purchase price of $70 million.

“Did you ever meet someone who truly “gets” you?  That’s how we feel about Yahoo,” reads an Xobni blog post. 

“The power within every Xobni product is that it responds to how you communicate.  Every day you demonstrate who and what is important to you.  That can benefit not just your inbox or Smartphone, but the many services you use.  Yahoo gets that, and they want us to use our platform to make many Yahoo services better for you. This is just the type of gig we’ve been preparing for throughout our history.  We look forward to letting the results speak for themselves.”

With the acquisition comes change and Xobni’s FAQ page explains which of its products and services will still available. Perhaps the biggest change is Xobni will no longer accept new purchases of premium products. Also, Smartr Contacts for Android and Xobni for BlackBerry can no longer be downloaded.

Xobni, is leaving its San Francisco office to work out of Yahoo headquarters in Sunnyvale, Calif.

In the past few months, Yahoo CEO Marissa Mayer has added several new companies to the fold. She has purchased 14 companies since last fall.

Mayer has said small acquisitions to acquire talented staff members will be a significant part of Yahoo’s plan to bolster its mobile and social offerings.