Verizon All Set To Acquire Yahoo
Verizon is all set to buy once an internet giant Yahoo for a peanut price of $5 billion. This could be one the biggest buyouts in the recent time and is considered a game changer.
The official announcement is expected to be made before the official trading hours of New York stock exchange. The speculation was making the rounds in the business circle for past few months and it seems to be having concluded now.
With this acquisition, Verizon will get a shot in the arm making an inedible mark in the online space. The deal will help Verizon to gain access to Yahoo’s advertising technology tools. It also takes control of Yahoo’s other business interests including the webmail, real estate, search network, Messenger tool, and others to name a few.
With the sale, Yahoo will cease to operate as a company and its role will be restricted to that of a stakeholder because of the 35 percent stake it holds in Yahoo Japan. It also has a 15 percent stake in Chinese e-commerce company Alibaba.
If the deal goes through, it would bring the curtains down to Yahoo which was started by Stanford graduate students, Jerry Yang and David Filo in the year 1994.
Yahoo is one the few companies that make its presence in the online world and was the go-to destination for people to get latest news and updates of anything interesting.
Things have drastically changed for Yahoo since Google gained a foothold of the search engine space and ate into Yahoo’s user base. Last few years, things are not rosy for Yahoo because of their dwindling user base and stiff competitions.
It may be recalled, Yahoo and Microsoft had joined hands to take on Google but it did not yield any
positive results and Google continues to rule the roost.
Yahoo had earlier shut down its other portals including Yahoo games, Yahoo Livetext, and Yahoo publishing channel.