Yahoo puts instant-messaging inside Web browsers

By Eric Auchard

SAN FRANCISCO (Reuters) - Yahoo Inc., the world's second-largest supplier of instant-messaging, has begun offering a new version that works inside a Web browser rather than requiring users to download a separate piece of software.

By dispensing with the need to install and run a separate IM program, Yahoo is looking to reach out to tens of millions of consumers around the world who use the Web in Internet cafes instead of on personal computers at work or at home.

The move also appeals to travelers, business professionals on the go and office workers whose companies block IM software downloads on their internal networks for security reasons.

"Too many people have been restricted from benefiting from this type of communication," Brad Garlinghouse, Yahoo's senior vice president in charge of communications, said in an interview.

The introduction of Web-based IM paves the way for Yahoo to eventually allow the rapid-fire text communication service in the member profile pages of social networking services such as MySpace, Facebook or other sites popular with young users.

"We certainly think about the opportunity where social networking and real-time IM communications intersect," Garlinghouse said, giving no timeline for when that may occur.

The Yahoo service is initially available in Brazil, India, Malaysia, Philippines, the United States and Vietnam and will expand to additional countries within the year, Yahoo said.

In India, 46 percent of consumer Web users log on from Internet cafes. Yahoo is the biggest IM service in India, according to comScore data, and it dominates in the Philippines and Vietnam, where upward of 80 percent of IM users use Yahoo.