Why it matters: Verizon's admission that its acquisitions of AOL and Yahoo were a mistake is being viewed positively by investors and will help the company move forward into the promising land of 5G on nimble feet. Verizon on Tuesday said in a filing with the Securities and Exchange Commission that it will write down $4.6 billion in the fourth quarter related to its media business, Oath (and specifically, its acquisition of AOL and Yahoo). Verizon purchased AOL in 2015 for $4.4 billion and closed its $4.48 billion acquisition of Yahoo in 2017. The two Internet pioneers were then rolled into a new entity called Oath which Verizon hoped would become a digital content powerhouse. Needless to say, that hasn’t happened. In the filing, Verizon also revealed that 10,400 employees, or nearly seven percent of its workforce, had accepted voluntary severance packages as part of a restructuring effort. The buyouts will largely be covered by a $2.1 billion tax break due in the fourth … [Read more...] about Verizon writes down $4.6 billion over AOL / Yahoo deals
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Amid Fair Trade Commission's heightened scrutiny of the big four US tech companies, Google, Apple, Facebook and Amazon.com, Japan's FTC is investigating another matter involving one of the quartets. Apple is being probed by Japan's FTC after receiving complaints that the Cupertino-based tech giant pressurised Yahoo Japan to shut down its gaming platform for posing a direct threat to App Store. Nikkei reported that Yahoo Japan slashed the budget for its game streaming platform, Game Plus, last fall due to pressure from Apple and filed complaints with Japan's FTC to look into the matter. The regulators are investigating the allegations against Apple for engaging in anti-competitive behaviour by violating the country's Anti-Monopoly Act. Yahoo Japan's Game Plus Vs App Store For those unaware, Yahoo Japan's Game Plus allows users to stream full games regardless of the platform and also play HTML5 games on mobile phones without downloading games. If users, including iOS device owners, … [Read more...] about This trillion dollar company to blame for Yahoo Game Plus’ downfall?
Sections SEARCH Skip to content Skip to site index Business Day Subscribe Log In Subscribe Log In Advertisement Supported by ByPrashant S. Rao and Michael J. de la Merced June 8, 2018 The telecom giant Verizon said on Friday that it would replace its chief executive with its head of technology, just as it and other wireless carriers grapple with new technologies and a wave of consolidation in the fast-changing industry. In a statement, Verizon said its chief executive, Lowell C. McAdam, would be replaced by the chief technology officer, Hans E. Vestberg, on Aug. 1. The choice of Mr. Vestberg — who has overseen in particular the deployment of next generation 5G mobile services — points to the importance that Verizon places on the new technology, which will dramatically increase download speeds and open up an array of potential new services. “I am humbled to be appointed C.E.O. of Verizon at such an exciting and … [Read more...] about Verizon Replaces Lowell McAdam as Chief Executive
June 5, 2018 - Written By Dominik Bosnjak The deal Samsung reached with Verizon’s digital unit Oath last month after agreeing to pre-install some of the company’s mobile apps on the Galaxy S9 and Galaxy S9 Plus is nothing but “bloatware,” Recon Analytics founder and lead analyst Roger Entner wrote in a paper published today. The industry veteran described the partnership as an unimaginative way of pushing unimaginative apps to buyers of two popular Android flagships, having identified a couple of key trends that he believes are reflected by the development – the “fundamentally broken” nature of the Apple App Store and Google Play Store’s app discovery mechanisms and massive budgeting imbalance issues permeating the mobile software development industry as a whole.Having a marketing budget that significantly surpasses the actual resources spent on development leads to situations where companies have enough money to have their apps … [Read more...] about Analyst: Verizon-Samsung Deal Over Oath Apps Is ‘Bloatware’
After purchasing Yahoo and combining the business with AOL, Verizon now operates Oath as a subsidiary company. Samsung and Oath have signed a deal to install four apps on all Galaxy S9 and S9+ devices sold through Verizon. As part of the deal, Yahoo Sports, Yahoo Finance, Oath's Newsroom app, and Go90 mobile video app will be pre-loaded onto new Verizon Galaxy devices. Oath is aiming to achieve more ad views through the mobile multimedia apps instead of turning to traditional cable TV for advertising. Over the next two years, the number of users consuming video content on smartphones is expected to grow by 8 percent, reaching 196.4 million by 2020. During this same time period, the number of viewers for traditional TV is expected to drop by up to 50 percent down to 295.9 million. Under the agreement, Oath will be able to insert native ads that mesh with on-screen content anywhere within Oath's own apps and also within Samsung's Galaxy app. Oath CEO Tim Armstrong says, "You can’t … [Read more...] about Verizon inks deal with Samsung to put more bloatware on Galaxy S9 and S9+