Funny you say that. She's currently leading Yahoo!'s technology development group, and is behind their internal "startup" incubator, Brickhouse. Their first product was Pipes, which is actually quite cool.

So the "giant" seems to agree with you there.

No she's not. Salim Ismail is leading Brickhouse: http://www.techcrunch.com/2007/03/14/salim-ismail-to-head-yahoo-brickhouse/

She'll lead 'strategy'... whatever that means. I think she'll leave very soon. She was demoted afterall.

Caterina established Brickhouse at Yahoo! and hired Salim Ismail to run it. Brickhouse, of course, is a product of her strategic role at Yahoo!