When Terry Semel left his spot atop Warner Bros. film studio to take over Yahoo, a lot of people thought he'd end up returning to Hollywood for an even bigger job. They were right, in a way. Semel is now CEO of one of the world's most influential media-entertainment companies: Yahoo, the Hollywood edition. As the Internet becomes the dominant infotainment medium, the same portals we rely on now—Google and Yahoo—will only work harder to keep their hooks in us. To that end, Semel has already made a few shrewd hires: Lloyd Braun from ABC, to create original content; a roving war correspondent, to post text and video from Iraq; and Madison Avenue vet Wenda Harris Millard, to get big brands to advertise online.