Yahoo to cut 2,000 staff, more may come
New York, April 4, 2012
Yahoo is about to lay off as many as 2,000 staffers - about 15 per cent of its work force - as part of a major restructuring, according to AllThingsD's Kara Swisher.
Swisher has been beating the drum on these Yahoo layoffs for some time now, which are part of a larger restructuring under new CEO Scott Thompson.
This round - yes, there are expected to be more - is reportedly going to hit Wednesday, taking out staffers throughout the company. The products division is expected to be hit hardest while the fate of both advertising and search are up in the air.
Yahoo has a search partnership with Microsoft, but that has not worked out as well as the company had hoped.
Yahoo also has been losing ground in the online advertising game, which is dominated by Google and, to a lesser extent, the ascendant Facebook.
Since taking the helm in January, Thompson has been pursuing a major reorganisation to turn around the flagging internet giant. Ross Levinsohn, the firm's head of the Americas, and Shashi Seth, current head of search and marketplaces, could head consolidated units in the reorganisation, according to Swisher.
At the same time Thompson oversees these layoffs, he is pursuing a patents lawsuit against Facebook and facing serious unrest from shareholders, most notably Third Point's Daniel Loeb. – Reuters