What you need to know about the Verizon-Yahoo deal
Verizon’s $4.8 billion deal to buy the core of Yahoo has signaled the end of one of the internet’s oldest mainstays.
Yahoo was an early juggernaut in the 1990s when it started as a directory for the World Wide Web.
Verizon’s acquisition of Yahoo seems to be the next step in its expansion into digital marketing. In 2015, Verizon acquired another early internet pioneer, AOL, also for a little over $4 billion.
Early internet users may remember AOL for its dial-up internet services, and its email service, which brought us the ubiquitous sound-bite “you’ve got mail”.
In recent years it has built a digital content empire which according to Fortune reaches more than 50 percent of the American population.
For Verizon, the main attraction to acquire Yahoo was its substantial user base. Yahoo boasts over 1 billion active monthly users. Yahoo has 600 million unique monthly users coming from mobile sources alone and there are still 280 million Yahoo Mail users around the globe.
Verizon is hoping to pair the content creation skills of AOL with the user market that Yahoo is bringing to the table.
Verizon has already announced that their executive in charge of AOL, Marni Walden, will also be adding Yahoo to its portfolio.
The crown jewel in the Yahoo acquisition is its advertising technology. Yahoo Gemini, their response to Google Ads, allows you to customize the ad you want your audience to see. Gemini uses information from you about your business, your audience and how much you want to spend and also takes into account where you want your ad displayed and on which platform.
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