Finally,
Someone has come forward to buy #Yahoo! Guess Who?
The telecommunication giant #Verizon.
The telecommunication giant #Verizon.
Internet pioneer Yahoo has finally sealed the deal to sell its core online assets, ending a 20-year run as an independent company.
US
telecom giant Verizon Communications has bought Yahoo's search and advertising
operations today for $4.83 billion.
The deal marks a dramatic fall for Yahoo, one of the best known names of the early internet era, which had a valuation over $100 billion before the dot-com collapse in 2000 and which in 2008 spurned a $44 billion bid from Microsoft.
The deal marks a dramatic fall for Yahoo, one of the best known names of the early internet era, which had a valuation over $100 billion before the dot-com collapse in 2000 and which in 2008 spurned a $44 billion bid from Microsoft.
Yahoo CEO Marissa Mayer said, "Today is a big day
for Yahoo. For me personally, I'm planning to stay. I love Yahoo."
Yahoo remains a major force online, but has lagged its rivals in its ability to 'monetize' its audience through advertising that is linked to customers' browsing and other online activities.
Why Yahoo Was Up For Sale?
Founded in 1995, Yahoo! was once the brightest star of the Web. But when its rivals including Google, Facebook and even few-years-old companies like Snapchat and WhatsApp have won over users, Yahoo! has not been able to maintain that glory.
Yahoo! CEO Marissa Mayer - formerly a Google executive - has spent billions on acquisitions so far to improve Yahoo's mobile products, expanding its audience by acquiring Tumblr and doubling down on premium media content.
But Mayer struggled to slow the overall ad sales decline of Yahoo! and failed. When the bidding began in April, Verizon was the immediate front-runner with a market capitalization of roughly $228 billion.
Here's Why Verizon Wants to Buy Yahoo!
Verizon is in a process of building a portfolio of online content. Its current assets include Huffington Post and TechCrunch and its own mobile video app, called go90. Acquiring this giant web portal will bring in millions more Yahoo's loyal viewers.
With the success in the wireless industry, Verizon has been buying up Internet and ad technology companies, like AOL, to compete in a mobile advertising market dominated by two big players, Google and Facebook.
And for this same reason, it is now buying Yahoo!’s ad and content businesses.
Yahoo! has millions of users, and a collection of websites like Flickr, Tumblr, Yahoo Finance, and Yahoo Sports, including some digital-ad technology like Flurry and BrightRoll.
Since the growth of Verizon’s traditional telecom business has been decreased, companies like Yahoo! and AOL would necessarily help Verizon make money from digital advertising on mobile devices.
The deal would not only give Verizon a powerful collection of content and revenue from ad related to that content but also give the telecom company a considerable amount of user data to provide target advertisements to users by the telecom as well as others.
Yahoo remains a major force online, but has lagged its rivals in its ability to 'monetize' its audience through advertising that is linked to customers' browsing and other online activities.
Why Yahoo Was Up For Sale?
Founded in 1995, Yahoo! was once the brightest star of the Web. But when its rivals including Google, Facebook and even few-years-old companies like Snapchat and WhatsApp have won over users, Yahoo! has not been able to maintain that glory.
Yahoo! CEO Marissa Mayer - formerly a Google executive - has spent billions on acquisitions so far to improve Yahoo's mobile products, expanding its audience by acquiring Tumblr and doubling down on premium media content.
But Mayer struggled to slow the overall ad sales decline of Yahoo! and failed. When the bidding began in April, Verizon was the immediate front-runner with a market capitalization of roughly $228 billion.
Here's Why Verizon Wants to Buy Yahoo!
Verizon is in a process of building a portfolio of online content. Its current assets include Huffington Post and TechCrunch and its own mobile video app, called go90. Acquiring this giant web portal will bring in millions more Yahoo's loyal viewers.
With the success in the wireless industry, Verizon has been buying up Internet and ad technology companies, like AOL, to compete in a mobile advertising market dominated by two big players, Google and Facebook.
And for this same reason, it is now buying Yahoo!’s ad and content businesses.
Yahoo! has millions of users, and a collection of websites like Flickr, Tumblr, Yahoo Finance, and Yahoo Sports, including some digital-ad technology like Flurry and BrightRoll.
Since the growth of Verizon’s traditional telecom business has been decreased, companies like Yahoo! and AOL would necessarily help Verizon make money from digital advertising on mobile devices.
The deal would not only give Verizon a powerful collection of content and revenue from ad related to that content but also give the telecom company a considerable amount of user data to provide target advertisements to users by the telecom as well as others.
Finally,
Yahoo will change the name
and become publicly traded investment company.
And, the
Verizon deal is the first major step toward unwinding Yahoo. Next up is a trove
of about 3,000 patents, which Yahoo is selling in a separate auction that is
expected to fetch more than $1 billion.
So, here is
why yahoo is no more YAHOO! And Verzion will going to increase their revenue.
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