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I saw the notice on Flickr a couple of days ago while I was working on my own website but didn't have time to read it. Today articles have begun appearing around the web explaining that SmugMug has acquired Flickr from Yahoo! and that for now they will continue to operate as separate products. Here's the official word on Flickr's blog page. I would like to believe that Flickr will continue to be able to offer the same free 1TB of disk space for all their users, but looking at the way SmugMug is set up, I cannot see this being the case. SmugMug isn't free and they seem to be offering pretty much the same kind of services that I wrote about in my most recent article. I just don't see them giving away up to 1TB of free hosting space and bandwidth to people who aren't paying for it. Data centre real estate isn't cheap for anybody, so my feeling is that they are after the large Flickr user base and will try to monetise those people into their own ecosystem of a paid subscription. We don't know how much they have paid Yahoo! for their product. Are you a Flickr user? What are your thoughts on this development?