Yahoo Inc has appointed the president of PayPal Scott Thompson as its chief executive after three months after it fired Carol Bartz, the news reports said. The shareholders of Yahoo were not happy with the decision of CEO announcement as they were pushing the search engine company to sell.
“Scott will join the search giant’s board of directors on January 9. He will be focusing on the core business and identify the best approaches for the company and its shareholders,” stated Chairman of Yahoo, Roy Bostock.
Scott Thompson will work in close association with the board on a strategic review process. Tim Morse will also takeover as Chief Financial Officer, the reports said. The internet company has also been facing strong competition and falling market share for quite sometime.
Carol Bartz was asked to leave the company in September last year. “The shares of Yahoo finished Wednesday’s regular trading session down 3% at $15.78, as Wall Street assessed how Thomson’s hiring would affect the hopes of some investors that Yahoo would be sold or spin its Asian assets,” the media reports said.
Scott Thompson, now 54, joined as the president of PayPal in early 2008, after serving as its Chief Technology Officer in-charge of information technology, product development and architecture.
Thomspon commented on his new position stating, “Yahoo! is an industry icon and I am very excited about the prospect of working with one of the great teams in the online world to deliver Yahoo!’s next era of success.
Scott Thompson will be Yahoo’s fourth CEO in less than five years. “The new CEO will have a big role in Yahoo’s final decision on its Asian Internet-company and its discussions with private equity investors,” said the reports.
Carol Bartz firing
The former CEO of Yahoo, Carol Bartz slashed the costs with job cuts and entered into collaboration with Microsoft Corp. Even then, Yahoo failed to make its mark in the U.S. advertising and search markets.
In the second quarter, and during the three-month period of Bartz as CEO, Yahoo reported revenues which failed to meet the estimates and led to the slow growth in display advertising. It also became difficult to close the deals. In September 2011, Bostock fired Bartz. Discussions were on as to who will be the next CEO. Then, Tim Morse became the interim CEO of the company who was at that time the CFO of Yahoo.
Yahoo is a multinational internet company based in California in U.S. It is known for its web portal, Yahoo! Directory, Yahoo! Answers, online mapping (Yahoo! Maps), Yahoo!Mail and social media websites and services. It is also one of the largest websites in the United States.
