Putting an end to the rift between Alibaba-a Company in China in which Yahoo is ascribed to roughly 40 per cent share-and Yahoo, Yahoo Inc. Chairman Bostock fired CEO Carol Bartz. Bartz confirmed her firing through a message from her iPad saying “I am very sad to tell you that I’ve just been fired over the phone by Yahoo’s Chairman of the Board. It has been my pleasure to work with all of you and I wish you only the best going forward.”
As Yahoo faces the spearhead battle in online advertising and content with rivals-Facebook and Google Inc., Yahoo Chief Financial Officer (CFO), Tim Morse, steps in for the interim role of a CEO. To help Timothy Morse run the company’s day to day operations till the new CEO is appointed, Yahoo appointed an Executive Leadership Council.
Bartz had joined Yahoo on the 13th day of January 2009 with the hope of reviving its stalled growth and compete with its existing and future rivals, bringing the company’s performance to the top. Officials at Yahoo did not come out in open to explain the abrupt firing of Bartz. However, some analysts said that the committee had no option left after seeing the organization’s constant failure in competing with advertising and content market.
Sources also revealed the decision to oust Bartz was reached by a unanimous vote of Yahoo’s eight independent directors late last week; in which, Bratz did not participate. Bartz corroborated that she is unaware of the real reason behind her termination.
Lately, Yahoo has also been reported to have handed over its search operations to the Microsoft Corporation. Microsoft had a deal with Yahoo to manage its search operations keeping a portion of ad revenue, which appears as a favor to the software company at Yahoo’s expense.
Yahoo’s share jumped to more than 6 percent in after-hours trading, after the news of Ms. Bartz’s exit was reported by All Things D, a technology website. Many a times, Bratz confronted criticism from the Wall Street Journal. She was known for her tough attitude and salty language.
Although Yahoo is still widely searched and accessed over the Internet, its grace had fallen long ago, after Carol Bartz joined as a CEO. During that period, the company‘s shares were traded at around $125; whereas, now it reached its 10th part. Sources have projected Yahoo may be overtaken by its rival company Facebook for the online display advertising.
It seems that Yahoo hopes high for reviving its position. However, no one seems to be aware of its next step-advertising, marketing or managing its own search. One thing for sure, Yahoo is all set to take off and implement a comprehensive strategic review to position the company for future growth.