Friendster Finds A New Pal

Former Yahoo! Chief Executive Tim Koogle, who left the Internet giant during a steep swoon in 2001, is back in a corner office. BusinessWeek has learned that in late March Koogle took over as interim CEO of Friendster, an online community that connects some 7 million people. A company spokeswoman says that Koogle is only a stand-in and that the company is searching for a permanent CEO. Although rumors swirl that Koogle, 52, could become the permanent boss, he declines to discuss the possibility.

Friendster, hatched in 2002, is a free service that maps out networks of acquaintances, letting people seek out dates or friends. It dwarfs social networking competitors LinkedIn and Google's Orkut. While the company puts some ads on its site, it still lacks a firm business plan.