Yahoo Prepares To Lay Off Thousands As Refocusing Continues
Yahoo CEO Scott Thompson is known for taking company’s that are for all intensive purposes “broken” and turning them around and it looks like his strategy at Yahoo will be to lay off thousands of workers as the company moves towards a new content and advertising driven direction.
A majority of the company’s layoffs are expected to come from the large products division, PR, research and marginal business operations at locations in the United States, Asia and other regions worldwide.
While some divisions will simply be trimmed down in size other divisions will be “cut away, leaving resources to go to better efforts” according to one insider. That same insider notes:
“This has to be a true change to get this company back on track.”
After taking charge of Yahoo the first attack by Thompson came when he threatened Facebook with patent lawsuits and then told investors that he plans to look at new business models while finding new revenue sources that will allow the company to expand their efforts in the content development sector.
According to a Yahoo spokesman:
“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.”
Do you think laying off a large part of its staff and then refocusing efforts on content production and advertising will help Yahoo get right with investors or is the company beyond repair after many years of constant mismanagement?
