With the number of smaller acquisitions Yahoo has made over the last year, I have to wonder whether it’s recent purchase of startup Bread was mistaken for an item of food you can always use more of. Then again, maybe not — as Bread’s social advertising tech could prove useful to Yahoo’s ongoing push to refresh its own ad products.

Bread was an ad tech service that created “billboard” ads promoting products or a worthy cause. You could then making money off of the ad spots, which people would see when clicking through to a link that used Bread’s URL shortener. It’s possibly that the startup’s business strategy wasn’t performing particularly well, thus leaving Bread with little cash to work with, according to a report from TechCrunch.

Bread CEO Alan Chan announced  via a late Friday blog post that Yahoo had acquired his company. Rather than continue operating, he said Bread would be shutting down its main products, Bread Social and Bread Oven, effective immediately. Bread’s URL service is also done, but Chan said the company will continue supporting links until Nov. 11.

“In Yahoo, we found a company that shares our vision,” Chen wrote in the blog post. “We are thrilled to join Yahoo’s advertising team in Sunnyvale where we will be working on developing next-generation solutions for social and mobile publishers and advertisers.”

Founded in 2011, Bread previously raised a total of $3.5 million in funding to date from frequent music startup angel and Lady GaGa manager Troy Carter, Raptor Ventures, and others.


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