YAHOO(Yet Another Hierarchical Officious Oracle), a company which every person in his/her, youth phase has used it in one or the other way. But, when the opponents of Yahoo, took a vast lead over it, then Yahoo started to loose its ground from the technical world. And now, the time came that Yahoo has been searching for a buyer and no one was coming forward to do so. But, now a wireless telecommunication company Verizon is all set to buy Yahoo in $5 Billion. Yes, you got it right Verizon Communication Inc. is reportedly closing on a deal to acquire Yahoo’s core Buisness for about $5 Billion. Since the agreement is yet to be finalised amoung the companies, and it is unclear that which of the assets the deal would include.
Why Yahoo has to sell itself?
When Yahoo was founded in 1995, it was the one and only monopoly of the search engine on the Internet. There were no such opponents like Google, Facebook etc. But, when rivals came into battle then Yahoo started to loose its ground in every, one and the other form. Yahoo, was shocked when companies like Snapchat, Whatsapp etc also took a lead from it.
Yahoo’s CEO Marissa Mayer(formerly an executive in Google) has spent a billions of dollar on improvement of the acquisitions of Yahoo. She expanded it by buying Tumblr, Flickr etc, and also doubled the premium media content. But, she wasn’t able to give back, the lost dignity of it. Last Monday an official statement came that around 15% of the revenue has fallen down, with 64% fall in the operating profit. So, after this loss Mayer said that Yahoo is all set to sell its core assets.
Since Verizon is one of the leading telecom company, and it is considered a perfect buyer for Yahoo. With the success in telecom(wireless industry) field Verizon wants its buisness to expand in the mobile advertisement market, which is being dominated by Facebook and Google. So, this is the reason behind, buying Yahoo. Since, growth of Verizon has decreased hence Yahoo will help it, to regain its lost ground from the other tech giants. Yahoo has many Websites in its pocket like Tumblr, Flickr, Yahoo Finance etc, so these may help Verizon in many ways.
This deal would not only give Verizon a powerful come back in telecom field, but will also make its strong presence in mobile advertising field. Which will lead a powerful collection of revenue and content from ad related stuff. And company could also target the audience by knowing its taste in online advertisement, by getting the amount of user data from Yahoo.
Now, these both are one on one discussion with each other, for finalising the deal. So, its time to say goodbye Yahoo!What do you think about this, tell us in the comment section below? Also, check out our Instagram page for awesome tech stuff.