Verizon Close to Yahoo Deal, Price Cut of $250-350 Million

cageymaru

cageymaru

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On the heels of today's news that Yahoo still has hacking issues, it seems that Verizon wants a price reduction on their Yahoo purchase. Verizon is buying Yahoo on the strength of their messenger, email and search assets; none of which I have used in years.

I thought that the reduction would have been more than $250 million to $350 million, but what price can you place on over two decades of user's personal data? I see this deal as Verizon buying our personal data for 4.83 billion. Yahoo has gotten older and less relevant over the years as Google became a juggernaut. Maybe even a bit senile with the way they protect our data?

Verizon hopes to combine Yahoo's search, email and messenger assets, as well as advertising technology tools, with its AOL unit, which Verizon bought in 2015 for $4.4 billion. Verizon has been looking to mobile video and advertising for new sources of revenue outside an oversaturated wireless market.

But Sunnyvale, California-based Yahoo has been under scrutiny by federal investigators and lawmakers since disclosing the largest known data breach in history in December, months after disclosing a separate hack.
 
Yahoo owns a nice chunk of IP. They also own a nice chunk of original content, kind of like AOL, and verizon sees itself as still being in that business sector. Yahoo brings a bundle of kind of worthwhile things in addition to their data. It's worth something to verizon, but not to many others unless parted out. I can see why verizon bid. I can't see why they bid as high as they did. That might have more to do with who owns the shares rather than inherent value.
 
When I first read the headline I thought the new price was in the 250-350 million range, not that it was how much Verizon wants off the deal. For a moment there, I thought maybe the deal wasn't half bad, but no Yahoo is still stupid expensive.
 
raz-0 said:
Yahoo owns a nice chunk of IP. They also own a nice chunk of original content, kind of like AOL, and verizon sees itself as still being in that business sector. Yahoo brings a bundle of kind of worthwhile things in addition to their data. It's worth something to verizon, but not to many others unless parted out. I can see why verizon bid. I can't see why they bid as high as they did. That might have more to do with who owns the shares rather than inherent value.
Click to expand...

There are a lot of valuable parts within Yahoo, the management has been useless since day one and the company is hurtling along in a thousand different directions with absolutely no discernible plan.

If anything Yahoo is proof that you need quality management to make the pieces all work together properly. Yahoo might be a case of the whole being less than the sum of its parts.
 
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Verizon is run by a bunch of idiot buttheads. So they sell FIOS, a very solid ISP/cable offering to Frontier, a bunch of clueless dipshits. Now they want to buy Yahoo... WTF is wrong with people....
 
True. I often forget that folks who live outside of broadband coverage areas still have to deal with dial-up. Broadband should be considered as a utility, just like water, electricity, etc.
 
I honestly wish I could understand what Verizon is trying to buy. I'm not sure that my data from 15+ years ago is going to provide any kind of benefit. Yahoo is a sinking ship and apparently a very leaky one as well.
 
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