Yahoo's Biggest Regrets

Yahoo's Biggest Regrets

Technology companies appear and sink, giant company status even today cannot guarantee what kind of fate in the future. Just look at Yahoo that had once been very jaya, has now sold at a bargain price for a company of that caliber, ' just ' USD 4.8 billion.

Yahoo's story began many years ago, in 1994. Jerry Yang, Taiwan immigrants who recently graduated from Stanford with David Filo, a taciturn programmer from Louisiana. They make a sort of directory website called David's Guide to the World Wide Web.

The directory it favored internet users. The following year, Sequoia Capital inject capital to the company that changed its name so it's Yahoo, then pointed to a former Executive of Motorola, Tim Kogle, as CEO. Jerry Yang and David Filo still own many involved.

The time that Yahoo successfully without a rival. In 1998, Yahoo is the most popular website and have been going public by selling stock on the Exchange alias. In January 2000, Yahoo's stock price reached the cusp of $ 118.

But then, there was what is referred to as the dotcom bubble where many internet companies bertumbangan. Yahoo's stock price in 2001 even shrank to USD 8.

Lucky, Yahoo is able to survive in these tough times. The lead changed its leadership with designated Terry Semel, the former Warner Brothers Executive, as CEO replacing Kogle.

Jerry Yang & David Filo (getty images)

At this time, Yahoo missed chances big for sure they later regret deeply. DetikINET quoted from the Economic Times, Yahoo in 2002 could have been bought by Google. But because less persistent, the acquisition of action never happened.

Then in 2006, Yahoo almost bought Facebook. But Semel lower bid of USD 1 billion to USD 850 million. The real Mark Zuckerberg is indeed less intent on selling Facebook finally really dogged Yahoo declined the offer.

As is known, Google and Facebook then becomes a giant devouring business Yahoo. The two companies that cannot be denied to be one of the reasons why Yahoo slumped later in the day.

Of course not all of Yahoo's strategy failed. In 2005, Jerry governing purchase 40% stake of original e-commerce company, Alibaba, China worth USD 1 billion.

A risky purchase, but then a huge success because Alibaba develops so giants of e-commerce in China. Currently, Yahoo shares in Alibaba was worth around USD 80 billion, far greater than the value of Yahoo's own.

Time pass. In 2008, Yahoo! began to show signs of decline. Microsoft's coming give deals worth USD 44.6 billion. However rejected by Jerry Yang of Yahoo's CEO at the time, because it considers the offer was too low.

The rejection of that proved to be the wrong policy and again leads to regrets, because Yahoo values continue to decline. Three years after the Microsoft bid, Yahoo's market capitalization was only USD 22.24 billion.

So, Yahoo was never able to rise like a golden age era before although already bergonta-replace the CEO. Their market capitalisation shrank, makin was forced to do LAYOFFS and operational offices in various countries including Indonesia were closed. Yahoo as a standalone company episode ever ends after Verizon be annexed with the number ' only ' USD 4.8 billion.