Reports have surfaced that Yahoo! is considering closing down their blog social networking service, MyBlogLog, which they acquired in 2007 for around 10 million dollars.

If you’ve never used the service before, MyBlogLog offers the ability to create and interact with different blog communities. Users can install a widget on their blogs which shows MyBlogLog members who have visited their pages and also provides some basic readership stats.

While the service does not have the same level of popularity it had when acquired, their blog widget still receives around 22 million visits each day, with over 275,000 registered members.

After initial speculation of the closure, Yahoo! responded with the following:

it’s no secret within Yahoo! that we’re actively discussing the future of MyBlogLog. However, it’s also true that we have not made any final decisions at this point. Is a shutdown on the table? Sure, that’s an option. But there are other options as well. We know this creates some uncertainty for current MyBlogLog users. While we aren’t quite ready to share more details, we promise to keep you posted.

Other blogs have speculated the gradual decline in popularity was caused by the rising of other services like twitter and facebook and the decision to remove the remove the company’s founders away from the executive team following the acquisition by Yahoo!

We’ll keep you posted on the future of MyBlogLog, but it looks to be closing at this stage.