Yahoo Co-founder Jerry Yang Quits

Jerry Yang. Yahoo's Ex co-founder

Jerry Yang. Yahoo's Ex co-founder

Jerry Yang, co-founder of Yahoo Inc., quit the company eliminating one of the last remnants of a management team. The management team was blamed by investors for failing to hunt for a buyer or negotiate a sale of stakes in Asian assets worth more than $10 billion.

Jerry Yang’s resignation from Yahoo

Jerry Yang had started the company in 1995 with David Filo. Jerry Yang’s exit from Yahoo Inc has pacified shareholders who had blasted the Yahoo, for pursuing a futile personal vision and impeding investment deals that could have altered the struggling company.

After Yang’s resignation from Yahoo, as reported in several business magazines, the company is being considered as the latest victim of an overhaul that led to the dismissal of ex-CEO Carol Bartz. Jerry Yang’s abrupt exit came two weeks after the appointment of new Yahoo CEO, Scott Thompson, with a mandate to return the once-leading Internet portal to the heights it enjoyed in the 1990s.

Ben Schacter, an analyst at Macquarie said, “Everyone is going to assume this means a deal is more likely with the Asia counterparts. The perception among shareholders was Jerry was more focused on trying to rebuild Yahoo than necessarily on maximizing near-term shareholder value. It certainly seems things are coming to a head as far as realizing the value of these assets.”

Expectations eyed at new Yahoo CEO, Scott Thompson

Industrial magazine reports that, after the resignation of Yahoo co-founder and one-time chief executive officer Yang, from his leadership position, the new Yahoo CEO Scott Thompson has liberated rein to unwind the company’s part- ownership of Alibaba Group Holding Ltd. and Yahoo Japan Corp. It is believed that the new Yahoo CEO may also do a better job enabling Yahoo to mount a credible threat to Google Inc. and Facebook Inc. in online advertising.

“We appreciate Jerry’s comments and share his enthusiasm for the company’s prospects,” said Chairman Roy Bostock. “With Scott Thompson leading an outstanding team of Yahoos to deliver innovative products and an engaging customer experience, Yahoo’s future is bright.”

Yahoo Inc. did not say where Yang was headed or what the reason of his sudden resignation was. New Yahoo CEO Thompson offered few hints in a memo to employees announcing, “I am grateful for the support and warm welcome Jerry provided me in my early days here. His insights and perspective were invaluable, helping me to dig deeper, more quickly than I could have on my own, into some of the key elements of the company and how it operates.”

It is believed that Jerry Yang was a lifer at Yahoo. It is kind of difficult to envision Yahoo’s smooth running without him on the board.

 

Dhwani Shah

Recent Posts

EC initiates another probe into Google’s adtech practices

EC initiates another probe into Google’s adtech practices

EU antitrust regulators are planning a formal investigation into Google’s digital advertising practices by the end of this year. Google is already facing unprecedented regulatory
1 hour ago
Some Microsoft employees stayed at data centers during Pandemic to keep all systems going

Some Microsoft employees stayed at data centers during Pandemic to keep all systems going

The Covid-19 pandemic ravaging the world for more than a year has forced companies and organizations to find viable solutions to keep the business going. Most found a solution in w
16 hours ago
Meme stocks frenzy and 3 companies to follow

Meme stocks frenzy and 3 companies to follow

The doom and gloom about the stock market that has been predicted since the pandemic started has abated somewhat with the resilience shown by investors (helped by low-interest rate
17 hours ago
US Space Force allows repurposed SpaceX rocket to launch GPS satellite

US Space Force allows repurposed SpaceX rocket to launch GPS satellite

A GPS navigation satellite built by Lockheed Martin is set to ride a reused SpaceX booster on a launch from Cape Canaveral, Florida, Thursday. It will be the first time a military
2 days ago
Disney boss says 40 pc ad revenue went to streaming sites, no plans of ad supported Disney+

Disney boss says 40 pc ad revenue went to streaming sites, no plans of ad supported Disney+

Walt Disney CEO Bob Chapel says the company’s advertising revenue for the upcoming fall television season was strong and went up by “double-digits” compared to 2019.
5 days ago
BlackRock ETFs breach $3 trillion mark in May

BlackRock ETFs breach $3 trillion mark in May

BlackRocks’ exchange-traded fund crossed $3 trillion for the first time in May, in sync with the ETF industry’s race to an all-time high of $9 trillion.
5 days ago