The Alphabet Google Thing with Yahoo

October 26, 2015

The Xoogler, Marissa Mayer, has embraced the Alphabet Google thing.

Bittersweet?

Nah, a need to generate some real revenue. The Alphabet Google thing has Yahooligans in its thrall. Microsoft? Well, who knows? An outsider to the Googlers again it appears.

I read “Yahoo Signs Ad Pact with Google; Earnings and Revenue Miss.” The Yahoo financial picture is no longer fuzzy. I see the crisp, clear lines of the sharp revenue downturn. According to the write up:

Mayer, in her fourth year as chief executive, said the forecast was “not indicative of the performance we want.” “We are also experiencing continued revenue headwinds in our core (advertising) business, especially in the legacy portions,” Mayer said on a call with analysts.

I like the “we” and the “headwinds.”

With AOL in the pride of the Verizon lion king, Yahoo may need more than a deal with the Alphabet Google thing to deal with the financial storm. The questions I have include:

When will an acceptable purchaser of Yahoo surface?
What line of business at Yahoo will the leader of the pack identify as the growth engine?
What steps can be taken to produce organic revenue from the most promising Yahoo businesses?

The answers to these questions may be spelled out in the months ahead.

Stephen E Arnold, October 26, 2015

Written by Stephen E. Arnold · Filed Under Advertising, Financial, News, Search

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Stephen E. Arnold monitors search, content processing, text mining and related topics from his high-tech nerve center in rural Kentucky. He tries to winnow the goose feathers from the giblets. He works with colleagues worldwide to make this Web log useful to those who want to go "beyond search". Contact him at sa [at] arnoldit.com. His Web site with additional information about search is arnoldit.com.