Yahoo boss Marissa Mayer to quit after $4.8bn Verizon deal

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10 Jan, 2017

Yahoo boss Marissa Mayer to quit after $4.8bn Verizon deal

Yahoo boss Marissa Mayer will quit the troubled tech firm if the $4.8bn (£4bn) sale of its digital services to Verizon goes through.

If the deal goes ahead, the company will also be renamed to Altaba, although telecoms firm Verizon is expected to retain the Yahoo brand name.

The deal will see Yahoo sell its email services, websites, mobile apps and advertising tools to Verizon.

Under its new guise as Altaba, the company will become a holding firm for investments in Chinese e-commerce giant Alibaba and Yahoo Japan that are jointly worth $40bn (£33bn).

After the final closing of the sale, chief executive Ms Mayer, co-founder David Filo and four other directors of the 11-member board will resign from their positions.

However, the deal has been put in jeopardy by Yahoo’s recent discovery of two computer hacking attacks that saw personal user-information stolen from the company’s servers, amounting to more than 1 billion hacked user accounts in 2013 and 2014.

Verizon is looking to renegotiate the deal in light of these developments, amid fear they could trigger a negative reaction among Yahoo users.

Once an internet powerhouse competing with the likes of Google, Amazon and Facebook, Yahoo – led by Ms Mayer since July 2012 – has faced substantial obstacles.

The company still boasts hundreds of millions of users.

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