Webs originally started out as a small home based business teaching weaving and renting looms. So the name probably stems from that side of the business: Weaving a web. They still have looms and weaving supplies and teach classes.
We talked with Kathy and Steve in the past and if I remember right when it came time to get online, the original owners (Steve's family) were not able to register webs.com because it was taken. So they somewhat disappointedly registered yarn.com. I believe this was prior to the dotcom boom when choice domains were still available and prior to the yarn.com supersite we know today. In the end, I think they made the right decision with yarn.com.
Webs was one of our original sponsors when we first launched the site back in 2004. They were also rolling out their eCommerce operations. Since then they have become quite an operation, opening up a second HUGE warehouse in Easthampton which handles their online order processing.
Ok, I'm posting too much in here this morning. I need to get to work!