Directory: Yahoo was started nearly 20 years ago as a directory of websites that helped users explore the Internet. While we are still committed to connecting users with the information they’re passionate about, our business has evolved and at the end of 2014 (December 31), we will retire the Yahoo Directory. Advertisers will be upgraded to a new service; more details to be communicated directly. (full article)
Once upon a time, directories were an important part of marketing on the internet. They are still great resources but due to the labor-intensive nature of maintaining a directory it is not surprising to see the number of general website directories dwindling.
Directories will continue to be a part of the internet, but expect to see those that survive be more subject specific. Since a directory requires people to sort and categorize listings it makes sense for topic specific directories but not for large, general directories like Yahoo has been.
If you’re not sure about how directories and search engines differ check out these helpful links on the topic: