Disclaimer #1: My job is technology evangelist for Yahoo! So refuting this is probably the definition of my job. Disclaimer #2: This is my own completely unsanctioned opinion and does not necessarily represent Yahoo!'s views or opinions. I'm obviously biased here, but I have a great respect for HN and PG so I wanted to talk about this. PG accuses Yahoo! of two things right at the very top of the article and the rest…
My sense from meeting Yahoo devs is that they are ok, in that they have the credentials, but didn't seem very passionate or excited about new tech. Can you bring up some examples where Yahoo is pioneering a new field? (search, media delivery, social etc, what ever Yahoo as a company is really excited and passionate about internally...)
What about Node.js? That's pretty en vogue right now. We are currently hiring Node.js engineers and have a number of core contributors in various parts of the company.
YUI and our other front-end work at Yahoo! is world class. People like Crockford are considered leading experts in doing quality front-end web engineering.
Our data centers are also cutting edge, I'm not an expert in this area, but I'm told we are at least on par with Google. Some of the new project are completely cooler-free, the whole building being designed to control heat and power flow.