Google acquires Picnik – Yahoo!’s default photo editor

TechFlash’s John Cook reported this afternoon that Google has acquired online photo editing service Picnik. The announcement comes just days after a significant milestone at Picnik, more than one billion images edited on the site.

Cook reports that terms of the deal were not disclosed, but in a blog post today from Picnik the company says that the deal will allow it to think big.

And all this leads us to today’s exciting news: we’ve just been acquired by Google! What does this mean for Picnik? It means we can think BIG. Google processes petabytes of data every day, and with their worldwide infrastructure and world-class team, it is truly the best home we could have found. Under the Google roof we’ll reach more people than ever before, impacting more lives and making more photos more awesome.

It should be interesting to see how Picnik gets integrated into Google’s photo-sharing offering Picasa in 2010.

And it will be even more interesting to see how Yahoo! deals with the acquisiton. Picnik has been integrated into Yahoo!’s Flickr site for years and is its default photo editor. Not for long.