Yahoo job cuts begin as Verizon takes control
Verizon Communications executives descended on the Silicon Valley HQ of their latest acquisition, Yahoo, to usher in what they're heralding as a bright new era for some of the faded stars of the internet age.
Tim Armstrong, CEO of the Verizon digital division now called Oath, met staff in Sunnyvale, California as the integration of Yahoo - acquired on Tuesday for $4.5bn (€4bn) - and Verizon's AOL unit begins.
The first steps will include a 15pc cut of Oath's combined staff - about 2,100 people - with a focus on redundant tasks, like support for two email systems.
The cuts will continue through this week at locations including New York. Engineering and product jobs will be least affected, Armstrong said.
Verizon acquired AOL two years ago and also has an online video app, go90. The mobile-phone company aims to attract online visitors to its digital properties to fuel advertising growth and enhance its core business of helping consumers send and receive information on their devices or watch TV.
"Verizon is the giant in mobile - the service is everywhere," Armstrong said. "I'm very excited about what we are going to do with that reach." (Bloomberg)