Yahoo! has been going through a rather rough patch for a long time now, and in an effort to turn around their fortunes the company has changed CEOs repeatedly.
The last CEO, Carol Bartz, had been asked to go by chairman Roy Bostock quite unceremoniously last September, and CFO Tim Morse was named as Interim CEO of the beleaguered company.
Yahoo! has now announced that they have found a suitable candidate in Scott Thompson, to lead the company. He has been the president of online payments firm, Paypal, which is a subsidiary of eBay.
Mr. Thompson has a tough task ahead of him, to say the least. He will not only have to focus on rebuilding the core business of Yahoo! but he will also have to carry out a strategic review of what new investments to make and existing business lines to dispose off.
According to Stuart Miles of technology blogsite Pocket-lint, Thompson will have to decide on whether they should concentrate on product innovation or content creation.
Yahoo! was founded by David Filo and Jerry Yang in January 1994 and was incorporated in March 1995. The company had a great run for the first decade or so. It was around 2005, with the rapid growth of Google that their troubles started. In 2008 they had to lay-off several employees, but when Microsoft made an unsolicited bid to take over the company at $33 per share, they refused the offer, saying that they were being under-valued.
However, the company has never fully recovered from that set back, and the share price continues to hover around $15 ever since. Will Scott Thomson change Yahoo!’s fortunes?