Verizon said is writting off the entire cost of tbe acquisition, as is parting ways with 10,400 employees in "a voluntary separation program," despite the Trump administration providing a tax cut and various deregulatory changes that were supposed to increase investment in jobs and broadband networks. The cuts represent nearly seven percent of Verizon's workforce and were announced along with a $4.6 billion charge related to struggles in Verizon's Yahoo/AOL business division.
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I wish someone would have told me that Yahoo was worthless before I convinced Lowell to spend billions on it.
Actually never mind, I don't listen to anyone except myself.
https://qz.com/881851/altaba-is-the-perfect-name-for-what-has-become-of-yahoo-yhoo-after-ceo-marissa-mayers-failed-turnaround/
When Yahoo’s comeback never came, however, shareholders more or less wrote off Yahoo as a business and zeroed their sights on the Alibaba and Yahoo Japan stakes, the only parts of the business they deemed worth anything. Indeed, during Yahoo’s very tumultuous 2015, some pointed out that after subtracting the value of its Alibaba stake, Yahoo Japan stake, and cash and other assets, Yahoo’s business was essentially worthless. After a series of false starts, including a plan to spin off Yahoo’s Alibaba stake without incurring any taxes, the company ultimately decided it would sell its core business to Verizon and keep everything else under what is now “Altaba.”
Of course, Verizon bought the useless part of Yahoo.
Mistake number one was buying AOL and Yahoo.
Mistake number two was killing known brand names and using the unknown and obviously worthless brand name of OATH.
Still shaking my head in disbelief.
Oath is a negative free cash flow entity. Its asset value is nothing worth preserving.
Nca- Lowell and Marni thought they could multiply AOL (a negative) and Yahoo (a negative) together to get a positive.
the total value of oath on the balance sheet was approximately $9 billion - purchase price of AOL + Yahoo which was about 50% assets and 50% goodwill. the goodwill was written off, the value of the assets remains. this has been misreported as a complete writeoff of all value - not true.
Yahoo spun off its vAlibaba stake before VZ was in the picture
@wsa, are you maintaining that two negatives do not make a positive?
Who woulda thunk 🤔 ?
Yahoo had profitable Alibaba, but that wasn't included in the deal.
AOL had memories and some news services, that are becoming a dime a dozen.
It's not like the whole world didn't know AOL and Yahoo were failing when Verizon bought them. I have no idea why people think you can take two companies on their way to bankruptcy, stick them together, and expect magic to happen.