Yahoo’s name change represents one of the saddest ending to one of the most familiar names on the internet. Yahoo was basically merged with Verizon who is paying $4.8 billion solely for yahoo’s core internet business, leaving behind 15% of Chinese retail giant alibaba and a part of yahoo Japan. Upon the closing of the $4.8 billion sale of yahoo’s operating business yahoo renamed itself as “altaba”. Altaba Inc will being with certain new directions as an investment company. Altaba will be required to regular and be regulated as an investment company act of 1940. This 4.8$ billion acquisition is expected to close in the first quarter of 2017.
Yahoo is the company that changed the world. Before yahoo, the internet was a government research project. Yahoo humanized and popularized the web, email, search and many other things. Now I will tell you what does the new name of yahoo means. It actually means the combination of “alternative and alibaba”. Now what remains in yahoo is only its former glory. After this auction we might not see the yahoo’s ever rising from its ashes. Yahoo was originally internet guide to most of the Indians. Even Marissa Mayer is resigning from yahoo board in March 2017 but before leaving the company renamed it as altaba. This announcement about the rename of the yahoo was done by SEC (securities exchange commission). The remaining company under the new name altaba inc. is hanging on its 15% ownership on alibaba and 35% stake in yahoo Japan which is a joint venture with Softbank. Once yahoo was one of the kings of internet but it is lost out to more innovative rivals including Google and face book.
This renaming of the name from yahoo to altaba is more like a rebranding move by the company. This verizon buyout will leave out important yahoo properties like alibaba and yahoo Japan. Altaba portion of yahoo will also develop some sort of their own brand of search engine to compete with established companies like google, face book and the original yahoo. Last year only, yahoo reveled twice that its company servers were hacked. So off course there were trust and credibility issues.