Bloated Yahoo May Face Job Cuts After Sale of Core Assets
#Yahoo ! Inc. may have a new owner before long. Whoever emerges victorious from the months-long bidding battle will face the difficult task of whittling down a company burdened by one of the the highest cost structures in its corner of the technology sector. Once the go-to gateway to the internet, Yahoo got fat over the years as it navigated the rapidly changing industry in a sprawling effort to be all things to all people — from search to shopping to news outlet to blogging hub. Spending ballooned on acquisitions and recruiting in an effort to offset declining sales as ad revenue was siphoned off by competitors. Now Yahoo squeezes far fewer sales from each employee than its peers and its core services are on the auction block. #Alphabet Inc., #Google ’s parent, had $315,948 in sales per worker in the first quarter while #Facebook Inc. garnered almost $400,000. For Yahoo, that figure was less than $116,000. Even the traditionally beefier telecom companies are lean compared with Yahoo. #Verizon Communications Inc. counts $185,637 in sales per employee and #AT&T Inc. reaps $144,319. Yahoo’s numbers look even worse when subtracting traffic acquisition costs — the revenue passed onto partners.
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