Verizon announced today that its acquisition of Yahoo has finally completed. This comes after Verizon announced that it was buying Yahoo in July 2016. The company then attempted to go back and lower its price, or even get out of the deal, due to the various security hacks that Yahoo had made public. But now, Verizon is the proud owner of about 50 brands, thanks to Yahoo. Verizon is combining Yahoo and AOL into a new company called OATH, which will house many different publications and brands, including Yahoo Sports, The Huffington Post, Engadget, TechCrunch, Tumblr, Flickr and more. Combined, these brands and publications engage with over a billion people around the world.
Yahoo’s CEO, Marissa Mayer has also decided to resign from her role at Yahoo following the acquisition. This is likely due to the number of hacks that were made public after Verizon announced the acquisition last year. In Verizon’s press release, the company announced that Mayer had chosen to resign and that it wishes her well in her future endeavors. There’s no word on where Mayer may appear next, but it’ll likely be another tech company, after all, she has been an executive at many of the bigger names in Silicon Valley, including Google, and HP.
Verizon bought AOL and then Yahoo so it could use the ad services from both companies for its Go90 service. Verizon offers up Go90 for free, but it’s ad-supported. And Verizon also wants to compete with Google, who is still king in the ad space. Surprisingly, AOL and Yahoo were Google’s only true competitors, as they did hold a decent market share, although pretty small comparatively. Of course, the amount of content that both companies have under their umbrella is definitely good for Verizon, especially with Go90 and their future streaming TV service, which the company has said that it wants to use exclusive content to differentiate its service from other services on the market. And since it is already a pretty competitive market – with Sling TV, PlayStation VUE, and YouTube TV – that’s a pretty good idea. Although many would love to get a true cable TV package without a cable box.