Slashdot Mirror
Yahoo To Spin Off Everything That Makes It Yahoo (nytimes.com)
An anonymous reader writes: Yahoo has confirmed reports from last week by saying it plans to spin off all of its assets aside from its $31 billion stake in Chinese e-commerce company Alibaba. "In the reverse spin off, Yahoo's assets and liabilities other than the Alibaba stake would be transferred to a newly formed company, the stock of which would be distributed pro rata to Yahoo shareholders resulting in two separate publicly-traded companies." Their decision was spurred by how stock market traders were weighing the tax risk of spinning off the most valuable part of the company.
The article notes that this probably means trouble for CEO Marissa Mayer: "Ms. Mayer, who was hired in 2012 to turn around Yahoo, had planned to spin off the company's 15 percent stake in Alibaba, bundled with a small-business services unit, into a new company called Aabaco. She then planned to focus on improving the company's core business, the sale of advertising that is shown to the roughly one billion users of Yahoo's apps and websites. Ms. Mayer is now effectively back to square one. Yahoo's core Internet operations are struggling, even though the chief executive has made dozens of acquisitions, added original video and magazine-style content, and released new apps."
The article notes that this probably means trouble for CEO Marissa Mayer: "Ms. Mayer, who was hired in 2012 to turn around Yahoo, had planned to spin off the company's 15 percent stake in Alibaba, bundled with a small-business services unit, into a new company called Aabaco. She then planned to focus on improving the company's core business, the sale of advertising that is shown to the roughly one billion users of Yahoo's apps and websites. Ms. Mayer is now effectively back to square one. Yahoo's core Internet operations are struggling, even though the chief executive has made dozens of acquisitions, added original video and magazine-style content, and released new apps."
Yahoo isn't relevant anymore as a technology company. It's just a stagnant e-dinosaur that holds billions in hardware and patents and a CEO that shut-ins enjoy beating off to.
Am I being naive, or just is this just a way of moving Alibaba into American ownership?
Yahoo only owns 15% of Alibaba, so it certainly is not a US company.
-- All that is necessary for the triumph of evil is that good men do nothing. -- Edmund Burke
The reason this is being done is that Yahoo couldn't get a promise from the IRS that selling off Alibaba shares wouldn't be tax free. So they are doing this game of making the current company a holding company for the Alibaba shares, then putting the rest of the company in a "new" company. This is just tax avoidance, nothing more.
He is right. Marissa was Larry's girlfriend at Google. You didn't know that I guess. Did you think she rose to the top at Google because she was brilliant?
No. A single report had them outselling Apple in tablets online. The report didn't bother to list sources but they definitely didn't include online sales figures from either Apple or Amazon. Apple and Amazon are easily the two largest online iPad retailers so without their figures that report is absolutely meaningless. It also doesn't count the thousands of brick and motar locations selling iPads.
This is not a very meaningful statement. Microsoft offers a lot of managed Windows Server services on Azure and charges a pretty penny for them. Azure is where businesses go to outsource their Active Directory needs. Money is just shifting from Windows Server CALs to Azure.
I'm a loner Dottie, a Rebel.