Follow us:

Microsoft Pri0

Welcome to Microsoft Pri0: That's Microspeak for top priority, and that's the news and observations you'll find here from Seattle Times technology reporter Matt Day.

March 5, 2012 at 7:12 AM

Yahoo to lay off thousands?

AllThingsD is reporting that Yahoo’s new CEO Scott Thompson planning a massive restructuring of the company that could result in “layoffs that are likely to number in the thousands.”

The restructuring, which could be announced by the end of the month, “is being aimed at Yahoo’s large products organization, as well as other arenas in which the company has lagged in,” Kara Swisher of AllThingsD reports, citing multiple sources inside and outside Yahoo.

Yahoo, which partners with Microsoft on Internet search and advertising, has been going through some tumultuous years. After spurning Microsoft’s $48 billion takeover bid in 2008, Yahoo’s chief executive and co-founder Jerry Yang was replaced by CEO Carol Bartz. Bartz herself was fired in September, the Yahoo board hired new CEO Scott Thompson in January, and Yang — along with four other board members — resigned from the board at the beginning of the year.

The company has been struggling to increase its advertising revenue and regain its footing. It’s been slipping in the U.S. search engine rankings, falling behind Microsoft’s Bing for the first time in December. And the partnership with Microsoft — in which Bing powers Yahoo’s searches, Yahoo sells premium ads for both, and the two share search revenue — hasn’t lived up to expectations.

UPDATE 12:46 p.m.: Yahoo, which has 14,100 employees globally, issued the following statement: “As we have indicated, our leadership is engaged in a process that will generate significant strategic change at Yahoo, but final decisions have not yet been made at this point. Beyond that, we will not comment.”

Comments

COMMENTS

No personal attacks or insults, no hate speech, no profanity. Please keep the conversation civil and help us moderate this thread by reporting any abuse. See our Commenting FAQ.



The opinions expressed in reader comments are those of the author only, and do not reflect the opinions of The Seattle Times.


The Seattle Times

The door is closed, but it's not locked.

Take a minute to subscribe and continue to enjoy The Seattle Times for as little as 99 cents a week.

Subscription options ►

Already a subscriber?

We've got good news for you. Unlimited seattletimes.com content access is included with most subscriptions.

Subscriber login ►
The Seattle Times

To keep reading, you need a subscription upgrade.

We hope you have enjoyed your complimentary access. For unlimited seattletimes.com access, please upgrade your digital subscription.

Call customer service at 1.800.542.0820 for assistance with your upgrade or questions about your subscriber status.

The Seattle Times

To keep reading, you need a subscription.

We hope you have enjoyed your complimentary access. Subscribe now for unlimited access!

Subscription options ►

Already a subscriber?

We've got good news for you. Unlimited seattletimes.com content access is included with most subscriptions.

Activate Subscriber Account ►