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I find it very hard to believe.
Alexa says the #1 site is google.com and the #3 site is youtube.com
Youtube alone is said to be 1 billion per month? Tumblr is 300 mil, and Flickr gets 80 mil. I would imagine it would be hard to even creep up to youtube's statistics with all of yahoo's property combined, let alone throwing google into the mix.
Unless the story is comparing all of yahoo properties to just google (and not including google's other property) THEN I could see the story being true - although completely misguided.
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