I don't care much for the financial aspect of this, but if it's the thought that counts, I think it's great.

If you can, take in some of the great talent (not just individuals) and rebuild! And the idea that

"They would have 100% autonomy over the entire “Yahoo! [Photo, Mobile, Social, News]” division."

seems great! Especially from the AOL/TechCrunch content posted here about who has the upper hand.