Verizon acquired Yahoo just add up to something. A decades ago it used be worth of $125 bn then why it has to end up like this?
Since second CEO took up, Yahoo has experienced exponential fall! After Marrisa Mayer took off, revenue increased comparatively but that was temporary hype. She couldn’t make it farther. She used strategy of acquisition and bought many startups in her era. Tumblr is one of such deal made for $1.1 bn. But alas that too could not bring revolutionary output. She is bright. Considering her strong profile specially her expertise in AI and rich experience at Google with many popular Google product, many had many expectations from her. But she failed to live it up to them. In last year yahoo made loss of around $4bn and this year it got sold in $4.8 bn.
Is it end? No it is not. Big Empire is not falling. You can still access you email and check yahoo-weather or read yahoo-news. Yahoo’s stock in Alibaba as well as Yahoo japan stock is not part of deal. Even $1 bn worth of pattern is not part of this acquisition so it can continue going under another name.
Why Verizon bought Yahoo?
Verizon is big telecom gaint of US whose worth will be $228 bn. Last year Verizon bought AOL an another falling gaint in $4.4bn giving it access to the AOL.com, huffingstone post, TechCrunch and many advertising media. Now Verizon bought another gaint in $4.8bn who used be competitor of AOL! Even though whatever rubbish people tweet about AOL acquisition according to me this is good deal. Now question is weather Verizon will be able to combine AOL and Yahoo and compete Google and Facebook in digital advertising industry and keep wallstreet people happy? Even for Yahoo it is good chance to reach to people as Verizon cover every 1 person out of 3 in US.
Lets keep our figure crossed to see what happens in future. Source.