I missed this on Friday, but this Business Week story on Yahoo's internal program to get more agile is definitely worth a look. It's called "Brickhouse" (cue the funky bass line from the Commodores song). Last week's release of Pipes represents the first fruits of the program.
Flickr co-founder Caterina Fake has been chosen to lead a team of Yahoos in their own offices in San Francisco to develop new projects and experiment within their day-to-day jobs. Many of the products that come out of Brickhouse may not carry the Yahoo brand, to allow the company to experiment a bit with edgier ideas, according to Bradley Horowitz, vice-president of Yahoo's advanced development division.
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