What is wrong with Yahoo Who are in grab fallen giants

  Starting from the day when the dotcom bubble burst, Yahoo has been struggling ever since. Having the ambition of restoring past glory while, still have to Google, under strong pressure from the Facebook effort little chance to breathe.

  However on April 18 of this year, Yahoo may be owned by one of its competitors all over again.

  What is wrong with the former King of the Internet? Shareholders have had enough of Yahoo seems to be no end of the sink, and CEO meilisha·meiyeer reputation for poor leadership. Although Mayer can be said to be the nail in the coffin for Yahoo’s last nail in people, but the tragic history of this company long before she took office, but says the bid is inevitable.

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  Prosperity will decline

What is wrong with Yahoo? Who are in grab fallen giants

  Founded from 1995 to 2000, it’s Yahoo, the most glorious period of the fastest. A five-year period from a $ 2 billion venture capital, “promising startups” giant of the expansion to a market value of 140 billion dollars.

  Yahoo foresaw the value of media and doing their best to capture as many Internet business, spent numerous funds in Geocities, Hoijobs, Broadcast on these services – and now they are gone.

  After the dot-com bust, Yahoo’s market value by 2002 quickly fell to us $ 11 billion. And other technology giants, sharp depreciation of its assets and investment. At that time many companies have invested too much money in various concepts, and never to think about whether they can profit, Yahoo is one of them.

  Most unfortunately for Yahoo is that it ignores one of the most profitable businesses: the search engine. In 2000, Yahoo outsourcing its search business to a new company, that company name is Google. Vans iPhone 5

  When Yahoo in 2002 while trying to buy Google for $ 3 billion, which wisely rejected. So Yahoo can only turn back buy Inktomi was himself cast aside, and in 2004 launched its own search engine. But it was too late, it cannot compete and Google at this time.

  This setback did not stop Yahoo continues to acquire a variety of promising businesses, hoping to continue with our brilliant as a one-stop service provider of Internet, but has not received the hoped-for return on investment. A senior executive at Yahoo had a famous complaint: company as like a peanut butter on bread, too dispersed resources, there is no focus. His pithy criticism indicates Yahoo the next waves of long-term decline.

  In 2008, Microsoft tried to buy Yahoo for $ 45 billion – $ 37 billion higher than Yahoo’s valuation. Yahoo founder Jerry Yang to persuade shareholders to reject the takeover. Those shareholders still regret this decision, most likely Microsoft is relieved.

What is wrong with Yahoo? Who are in grab fallen giants

  Meilisha·meiyeer starting in 2012 after the assumption of Yahoo CEO, Yahoo has been trying to redefine its image, hoping to become a Center for social media, and video. We can from 2013 with the $ 1.1 billion acquisition of Tumblr, waste wood, and took over as Yahoo! Screen continued the Alliance see it.

  While from then on Tumblr started growing, Fortune is expected to only US $ 10 million in profit before acquisition of Yahoo, and growth would be difficult to bring close to its asking price of interest. Likely this is crushing Yahoo is the last straw.

  Yahoo currently has a market value of $ 32 billion, but financial websites such as Forbes claimed to possess Alibaba and Yahoo Japan shares totaled $ 36 billion. Without these assets, Yahoo’s operating losses.

  By virtue of the company still has a brand, and it continued to increase market reach, Yahoo is still to propose to potential bidders starting price of us $ 10 billion. Vans iPhone case

  Who will buy Yahoo?

What is wrong with Yahoo? Who are in grab fallen giants

  Market watchers think staring at Yahoo of as many as 40 companies, Verizon, Microsoft and the daily mail is the front runner. Google and companies may also participate in the era.

  After the failure of Microsoft’s 2008 acquisition of Yahoo, the two companies started cooperation, let Bing to Yahoo search results. Today, Bing accounts for 51% Yahoo search results and advertising content, while the remaining 49% comes from Google. If Yahoo were sold to unrelated third parties, both companies will lose that position.

  According to the analysis, Microsoft probably won’t complete takeover of Yahoo, but it will work with a third party private or providing bid support for the latter in order to retain the right to use its own search engine.

  Google, meanwhile, may want to consider with this acquisition, strengthening their network traffic to occupy, and hit with Bing. But the risk is there, Google’s move is likely to trigger public condemnation, also followed the antitrust lawsuit. Because of this, some experts believe that Google bid for Yahoo is not too positive.

  Telecom giant Verizon is the undisputed leader. Last year its $ 4 billion acquisition of another fallen colossus AOL, caused quite a stir. Fortune thinks Verizon’s telecom services earnings had stalled, needed in Internet advertising and news source, looking to diversify, Yahoo is certainly in line with this logic.

  Daily mail group, as more traditional media businesses, under increasingly strong network will inevitably decline. Analysts believe Yahoo’s core businesses through acquisitions, hoping to make up for the loss. BBC says daily mail and Microsoft are likely to play the same idea, in cooperation with private equity firms. Which Yahoo’s network business, while the daily mail has run Yahoo’s media operations, whether it be independent, or his news sources into one. In addition, with this acquisition, the daily mail will also have the opportunity to enter the United States market.

  No matter what company finally buys Yahoo, the brand will continue to exist, except that its business would shrink to the reader and Viewer, and its news brands may face closure, or be classified in other Web sites. CEO Mayer will no doubt leave the company. If Verizon got to Yahoo, then continued job cuts are inevitable.

[Article correction]

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Tags: Science and technology , The Internet

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