Yahoo Boss Quits

June 19, 2007

Yahoo Chairperson Terry Semel has quit, ending his increasingly ineffectual pursuit of online search leader Google  - so reports http://www.news24.co.za

“Mountain View-based Google now makes more money in a single quarter than Yahoo does in an entire year. The contrast represents a harsh comedown for Yahoo, which was the larger of the two companies when Google went public in August 2004.

Since then, Google has steadily expanded upon the internet’s largest advertising network to create nearly $140bn in shareholder wealth as its stock price increased by more than sixfold. Yahoo’s stock, meanwhile, is worth a little bit less than when Google went public.

Google’s meteoric rise is an especially hard pill for Semel to swallow because he once flirted with the idea of buying Google. In mid-2002, Semel reportedly terminated negotiations when Google set its sales price at $5bn.

Google’s success since then has decimated the employee morale at Yahoo, leading to a recent wave of executive departures that raised concerns about whether the company would be able to retain the talent it needs to regain its stride.

Just last week, Semel assured shareholders attending Yahoo’s annual meeting that he had the fortitude to lead a comeback. He has been counting on recent improvements to Yahoo’s online advertising system and a series of key partnerships to boost profits after the company suffered an 11% drop in its first-quarter earnings.”


Share and Enjoy:
  • del.icio.us
  • muti
  • NewsVine
  • Netvouz
  • Reddit
  • Digg
  • Facebook
  • SphereIt
  • Sphinn
  • StumbleUpon
  • Technorati
  • TwitThis
Sphere: Related Content

Written by Tony Lopes · Filed Under Miscellaneous 

Close
E-mail It
Clicky Web Analytics