Proactiveinvestors United Kingdom - Computer Services RSS feed http://www.proactiveinvestors.co.uk Proactiveinvestors United Kingdom - Computer Services feed en Thu, 22 Feb 2018 19:07:50 +0000 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com action@proactiveinvestors.com IBM tops expectations http://www.proactiveinvestors.co.uk/companies/news/185803/ibm-tops-expectations-185803.html Wed, 18 Oct 2017 20:02:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/185803/ibm-tops-expectations-185803.html Uh-Oh! … Yahoo! hack becomes the latest to highlight cybercrime threat http://www.proactiveinvestors.co.uk/companies/news/166380/uh-oh-yahoo-hack-becomes-the-latest-to-highlight-cybercrime-threat-166380.html Fri, 23 Sep 2016 10:26:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/166380/uh-oh-yahoo-hack-becomes-the-latest-to-highlight-cybercrime-threat-166380.html IBM shares advance as it buys video streamer http://www.proactiveinvestors.co.uk/companies/news/121624/ibm-shares-advance-as-it-buys-video-streamer-121624.html Thu, 21 Jan 2016 17:51:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/121624/ibm-shares-advance-as-it-buys-video-streamer-121624.html Yahoo! now plans to keep Alibaba ... and hive off the rest of the business http://www.proactiveinvestors.co.uk/companies/news/120271/yahoo-now-plans-to-keep-alibaba-and-hive-off-the-rest-of-the-business-120271.html Wed, 09 Dec 2015 18:46:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/120271/yahoo-now-plans-to-keep-alibaba-and-hive-off-the-rest-of-the-business-120271.html Lantronix names former Emulex boss as CEO http://www.proactiveinvestors.co.uk/companies/news/120126/lantronix-names-former-emulex-boss-as-ceo-120126.html Mon, 07 Dec 2015 13:54:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/120126/lantronix-names-former-emulex-boss-as-ceo-120126.html Monday's trending - Bill Gates, clean energy and Cyber Monday... http://www.proactiveinvestors.co.uk/companies/news/119854/monday-s-trending-bill-gates-clean-energy-and-cyber-monday-119854.html Mon, 30 Nov 2015 16:41:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/119854/monday-s-trending-bill-gates-clean-energy-and-cyber-monday-119854.html Computer Sciences Corporation pulls trigger on UXC takeover http://www.proactiveinvestors.co.uk/companies/news/119695/computer-sciences-corporation-pulls-trigger-on-uxc-takeover-119695.html Wed, 25 Nov 2015 11:33:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/119695/computer-sciences-corporation-pulls-trigger-on-uxc-takeover-119695.html Rackspace Hosting surpasses expectations http://www.proactiveinvestors.co.uk/companies/news/117306/rackspace-hosting-surpasses-expectations-117306.html Tue, 10 Nov 2015 12:28:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/117306/rackspace-hosting-surpasses-expectations-117306.html Yahoo’s NFL livestream broadcast attracts 15.2mln viewers http://www.proactiveinvestors.co.uk/companies/news/116670/yahoos-nfl-livestream-broadcast-attracts-152mln-viewers-116670.html Mon, 26 Oct 2015 17:55:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/116670/yahoos-nfl-livestream-broadcast-attracts-152mln-viewers-116670.html IBM in focus after financials fall short of expectations http://www.proactiveinvestors.co.uk/companies/news/116412/ibm-in-focus-after-financials-fall-short-of-expectations-116412.html Tue, 20 Oct 2015 12:01:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/116412/ibm-in-focus-after-financials-fall-short-of-expectations-116412.html Yahoo’s exec Reses leaves to join Square http://www.proactiveinvestors.co.uk/companies/news/116379/yahoos-exec-reses-leaves-to-join-square-116379.html Mon, 19 Oct 2015 16:42:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/116379/yahoos-exec-reses-leaves-to-join-square-116379.html UPDATE - Yahoo shares bolstered as it presses on with planned Alibaba stake sale http://www.proactiveinvestors.co.uk/companies/news/115914/update-yahoo-shares-bolstered-as-it-presses-on-with-planned-alibaba-stake-sale-115914.html Tue, 29 Sep 2015 20:26:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/115914/update-yahoo-shares-bolstered-as-it-presses-on-with-planned-alibaba-stake-sale-115914.html US benchmarks set to make up some lost ground http://www.proactiveinvestors.co.uk/companies/news/115913/us-benchmarks-set-to-make-up-some-lost-ground-115913.html Tue, 29 Sep 2015 13:52:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/115913/us-benchmarks-set-to-make-up-some-lost-ground-115913.html Yahoo’s media head to leave company to join STX Entertainment http://www.proactiveinvestors.co.uk/companies/news/115912/yahoos-media-head-to-leave-company-to-join-stx-entertainment-115912.html Kathy Savitt, Yahoo’s  (NASDAQ:YHOO) media and marketing head and a key lieutenant to Chief Executive Marissa Mayer, is leaving the Internet company to join Hollywood studio STX Entertainment, a Yahoo spokeswoman said.

Savitt will join STX Entertainment in October as president of its digital business, STX said.

Yahoo is planning a major shakeup in its media unit and Savitt's job had been the topic of internal discussion for a while, technology website Re/code reported, citing unidentified sources. 

Savitt, one of Mayer’s first hires in 2012, oversaw marketing during a period in which Yahoo  has failed to grow meaningful traction with advertisers and reverse its losses in market share to Google  and Facebook.

Savitt, who is also Yahoo's chief marketing officer, will report to STX Chief Executive Robert Simonds.

“We appreciate her contributions to Yahoo over the past three years and wish her well,” the Yahoo spokeswoman said in an emailed statement. “We have strong leaders in both Yahoo’s media and marketing organization who will continue to drive the business forward.” 

Mayer has reshuffled top executives frequently in her three years as CEO. 

Shares of the Sunnyvale, California-based company slipped 0.3% to $31.08. The stock has lost 38% so far this year.

 

 

 

 

]]>
Fri, 11 Sep 2015 21:28:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/115912/yahoos-media-head-to-leave-company-to-join-stx-entertainment-115912.html
Yahoo CEO Mayer says she’s pregnant with twin girls; shares drop http://www.proactiveinvestors.co.uk/companies/news/115911/yahoo-ceo-mayer-says-shes-pregnant-with-twin-girls-shares-drop-115911.html Yahoo (NASDAQ:YHOO) chief executive officer Marissa Mayer announced she is pregnant with identical twin girls, likely due in December. Shares fell in premarket trades.

"Since this is a unique time in Yahoo's transformation, I plan to approach the pregnancy and delivery as I did with my son three years ago, taking limited time away and working throughout," Mayer wrote in a blog post late on Monday.

Mayer's pregnancy comes at a critical time for Yahoo, which is preparing to spin off its stake in Chinese e-commerce giant Alibaba Group Holding (NYSE:BABA) and considers the future of its holding in Yahoo Japan (TYO:4689). 

Shares of the Sunnyvale, California-based company fell 1.2% to $31.84 at 9:46 a.m. in New York, expanding this year’s slump to 37%.

“The twins part was quite a surprise, because I have no family history of twins or any other predisposing factors,” wrote Mayer, 40. “Zack and I have embraced the surprise and are very excited about these new additions to our family.”

In 2012, Mayer set off a national debate about working mothers after disclosing she was pregnant with her son shortly after becoming CEO of the struggling Yahoo, and then taking only a few weeks of maternity leave for his birth nearly three years ago.

Yahoo said in its corporate blog on Tuesday that it was "extremely happy" for Mayer and supported her plans and approach. 

Mayer, who has been married to start-up investor Zachary Bogue since 2009, was an executive at Google before taking the helm at Yahoo in 2012.

 

 

]]>
Tue, 01 Sep 2015 16:53:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/115911/yahoo-ceo-mayer-says-shes-pregnant-with-twin-girls-shares-drop-115911.html
Yahoo! worth a shout, Bernstein reckons http://www.proactiveinvestors.co.uk/companies/news/115910/yahoo-worth-a-shout-bernstein-reckons-115910.html Internet portal Yahoo! (NASDAQ:YHOO) was wanted after stockbroker Bernstein upgraded the stock to ‘outperform’ from ‘market perform’.

In the broker’s view, the current share price of around US$36.50 represents the “almost worst case scenario” for the once cutting edge Internet pioneer.

Yahoo’s shares were laid low yesterday by a shocker of a trading update from Chinese online marketplace operator Alibaba (NYSE:BABA), in which Yahoo! has a 15% stake.

For the three months to end June, Alibaba’s revenues rose 28% year-on-year to US$3.26billion (bn), but analysts had forecast a figure of US$3.39bn.

Bernstein analyst Carlos Kirnjer maintained his price target of US$52 but clearly thinks yesterday’s share price tumble to US$34.49 presents a buying opportunity.

Even after Alibaba’s shares retreated, Yahoo’s stake is worth about US$18.40 a share by Kirnjer’s calculations, while it also has about US$4.40 a share in cash, even after a large share repurchase programme over the last 12 months.

"Despite being very bullish on Alibaba, we have been cautious on Yahoo! because so far we believe investors who buy into our Alibaba thesis are better off investing directly on Alibaba and not taking any of the risks associated with owning Alibaba indirectly through Yahoo!," Kirnjer said.

Nevertheless, at the current price, there is limited downside and considerable potential upside in Kirnjer’s view.

Shares in Yahoo! were up US$2 at US$36.49 in lunchtime trading.

]]>
Thu, 13 Aug 2015 20:10:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/115910/yahoo-worth-a-shout-bernstein-reckons-115910.html
In the papers - Greece's stock market rally, Sky and Cadbury's owner http://www.proactiveinvestors.co.uk/companies/news/109754/in-the-papers-greece-s-stock-market-rally-sky-and-cadbury-s-owner-109754.html Fri, 07 Aug 2015 06:56:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/109754/in-the-papers-greece-s-stock-market-rally-sky-and-cadbury-s-owner-109754.html Yahoo! reintroduces fees for Flickr http://www.proactiveinvestors.co.uk/companies/news/115909/yahoo-reintroduces-fees-for-flickr-115909.html

Shares of Yahoo! (NASDAQ:YHOO) were trading 2.4% lower this afternoon as the company, while the company wants to position its new Flickr photo sharing platform as a professional tool while re-introducing the Flickr Pro subscription.

When Yahoo acquired Tumblr in 2013 for US$1.1 billion, the company introduced a new version of Flickr, a benchmark for amateur photographers, who, however, have gradually been turning to Facebook.

Yahoo updated Flickr, unveiling a new user interface, giving users a full terabyte of free storage. Meanwhile, the Sunnyvale, California based firm withdrew subscriptions for Flickr Pro, then costing US$24.95 dollars, even as subscribers could keep their subscription and their unlimited storage.

Now, Yahoo has updated and re-introduced the paid subscription product with a new fee of US$49.99 per year or 5.99 dollars per month, still capping capacity to one terabyte. The service will be competing against Google’s Photos, which offers unlimited free storage. Amazon also offers unlimited quota on its servers for subscribers to the Premium.

In its defense, Rajiv Vaidyanathan, Flickr’s developer, said that only a hundred members have reached a terabyte of storage and it is quite enough for some 113 million users of the service. Moreover, unlike Google Photos which limits resolution to 16 MP and 1080p for videos, Flickr focuses on quality in order to meet the needs of professional photographers who rather than using a smartphone rely on a real camera for their work., while benefiting from the lack of advertising.

Customers already owning a Pro account retain unlimited storage space and only pay US$24.95 dollars for the next two years before being transferred to the new fee.

Previously, Yahoo had also increased subscription to Yahoo! Mail Plus simply proposing to remove advertising. Renamed Ad-free Yahoo! Mail, it rose from 19.99 dollars to 49.99 dollars while the formerly unlimited storage is now capped at 1TB for all users.

]]>
Mon, 27 Jul 2015 20:25:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/115909/yahoo-reintroduces-fees-for-flickr-115909.html
Yahoo Q1 earnings, revenue trail expectations on higher costs http://www.proactiveinvestors.co.uk/companies/news/106385/yahoo-q1-earnings-revenue-trail-expectations-on-higher-costs-61107.html Yahoo (NASDAQ:YHOO) missed earnings and revenue expectations for the first quarter as slight growth in its online advertising businesses was outweighed by higher payments to partners and websites that send readers to Yahoo. Shares fluctuated.

Net income to $21.2 million, or $0.02 per share, for the January-to-March quarter, from $311.6 million, or $0.29 per share, a year earlier, the Sunnyvale, California-based company said in a statement yesterday.

On an adjusted basis, earnings were $0.15 per share, below the $0.18 average estimate of analysts polled by Thomson Reuters.

Revenue, after deducting fees paid to partner websites, fell to $1.04 billion from $1.09 billion. That result lagged the Wall Street consensus of $1.06 billion.

Display advertising revenue rose 2.3 percent to $463.7 million, or roughly 40 percent of its total revenue. Search business revenue was up 19.5 percent year-on-year to $531.7 million.

Yahoo said its recent deal to become the default search engine on Mozilla's popular Firefox browser boosted search volume. But the cost of the deal, which Yahoo did not disclose, contributed to a sharp $137 million rise in traffic acquisition costs.

Following the earnings report, chief executive officer Marissa Mayer outlined plans to explore options for the company’s stake in its Japanese division.

The company has hired advisers to consider opportunities to maximize value for its stake of about 35 percent in Yahoo Japan Corp., valued at more than $8 billion, Mayer said on a conference call late yesterday.

Since taking the helm in 2012, Mayer has struggled to add users and woo advertisers by focusing on mobile, adding online channels and signing partners.

Shares of Yahoo were last trading at $44.23, down 0.6 percent, at 9:48 a.m. in New York. The stock is down 12 percent this year.

Yahoo’s share of the U.S. online display ad market may slide to 3.5 percent in 2017 from 5.5 percent last year, Bloomberg reported, citing EMarketer Inc.

For the second quarter, Yahoo anticipated revenue of $1.01 billion to $1.05 billion, compared with the average analyst estimate of $1.04 billion.

 

]]>
Wed, 22 Apr 2015 14:52:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/106385/yahoo-q1-earnings-revenue-trail-expectations-on-higher-costs-61107.html
IBM reports mixed Q1 results on currency headwinds; shares waver http://www.proactiveinvestors.co.uk/companies/news/106369/ibm-reports-mixed-q1-results-on-currency-headwinds-shares-waver-61080.html International Business Machines (NYSE:IBM), the world’s largest computer-services provider, reported mixed results with higher earnings and decreased revenue as it continues to shed unprofitable businesses to focus on cloud-computing initiatives. Shares fluctuated in morning trades.

Net income skidded to $2.33 billion, for the January-to-March quarter, from $2.38 billion a year earlier, the Armonk, New York-based company said in a statement late yesterday.

On a per share basis, GAAP profit rose to $2.35 from $2.29 as there were fewer shares outstanding in the first quarter.

Excluding some charges, non-GAAP earnings were $2.91 per share, well ahead of analysts' average forecast of $2.80.

Revenue fell to $19.6 billion in the January-to-March quarter, from $22.2 billion a year earlier. That fell short of analysts' average estimate of $19.64 billion.

Shares were down 0.1 percent at $165.99 at 9:43 a.m. in New York, after rising as much as 0.6 percent. The stock is up 4 percent this year, but down 13 percent in the past twelve months.

IBM's software and hardware segment sales dropped 8 and 23 percent from the year before, respectively.

In the company's earnings call, Chief Financial Officer Martin Schroeter said a stronger dollar markedly affected sales, as about two-thirds of revenue comes from outside the U.S.

Schroeter called the results "quite a good start to the year." He touted growth in IBM's cloud computing and business analytics despite the currency struggles.

IBM's revenue has been shrinking for three years now as the company sheds low-profit businesses such as cash registers, low-end servers and semiconductors and focuses on emerging areas such as security software and cloud services, but the new businesses have so far failed to make up for revenue lost to divestitures.

IBM, which gets more than half its revenue from overseas, also said it now expects a 7 percent impact from currency headwinds in the full year. It said in February it expected more than 6 percent.

 

]]>
Tue, 21 Apr 2015 14:50:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/106369/ibm-reports-mixed-q1-results-on-currency-headwinds-shares-waver-61080.html
Yahoo to buy back additional shares worth $2bln http://www.proactiveinvestors.co.uk/companies/news/106109/yahoo-to-buy-back-additional-shares-worth-2bln-60702.html Yahoo (NASDAQ:YHOO) rose in morning trades after the largest U.S. Web portal said it will buy back $2 billion in company stock as it prepares to spin off its stake in Chinese e-commerce company Alibaba (NYSE:BABA).

Shares of Yahoo rose 2.1 percent to $45.43 at 9:43 a.m. in New York. The stock is down 10 percent so far this year.

The board approved the addition yesterday, the Sunnyvale, California-based company said in a statement. Yahoo’s existing repurchase program has $726 million remaining, and the new program extends to buybacks through March 31, 2018.

Yahoo has been under pressure to more aggressively return its impressive pile of $53.0 billion in cash and investments to investors. 

The company has received an influx of cash from its sale of Alibaba as part of the initial public offering. And Yahoo has created a plan to spin off the rest of its stake into a separate company to transfer the money to investors.

Yahoo has been aggressively buying back shares of its own stock. The company has spent more than $4 billion buying back stock over the past four quarters, says S&P Dow Jones Indices. These aggressive buybacks have reduced Yahoo’s number of shares outstanding by 7.6 percent in calendar 2014.

The additional buybacks bolster chief executive officer Marissa Mayer’s defense against activist investor Starboard Value LP, who took a position in Yahoo last year and argued the CEO has diminished investor value by overspending on acquisitions. The investor reiterated some of its concerns in a letter to Mayer earlier this month, urging the company to cut costs, spin off its stake in Yahoo Japan and buy back up to $4 billion in shares.

Today is the deadline for shareholders to submit nominees for the board of Yahoo, effectively the last day that a proxy fight can be launched.

Starboard has voiced the loudest objection to Mayer in the more than two years since she took the reins at Yahoo. During that period, the Internet portal has failed to boost its core advertising business and struggled to reinvent itself in an age of social networks and mobile computing.

Buybacks diminish the amount Mayer could spend on large acquisitions. Last year, she spent more than $800 million to acquire two companies: mobile ad analytics company Flurry and video-ad service BrightRoll.

]]>
Fri, 27 Mar 2015 13:48:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/106109/yahoo-to-buy-back-additional-shares-worth-2bln-60702.html
Yahoo to close R&D office in China, said to cut 300 jobs http://www.proactiveinvestors.co.uk/companies/news/105981/yahoo-to-close-rd-office-in-china-said-to-cut-300-jobs-60518.html Yahoo (NASDAQ:YHOO) is closing its Beijing research and development center and leaving China in a new cost-cutting move.

The company said in a statement today that the Beijing office's functions would be consolidated in other locations. It will lay off between 200 and 300 employees, The Wall Street Journal reported, citing a person familiar with the matter.

“We are constantly making changes to align resources, and to foster better collaboration and innovation across our business,” the Sunnyvale, California-based company said in the statement. “We currently do not offer local product experiences in Beijing but the office has served as a research and development center.”

The web portal has been consolidating offices and trimming staff around the world, in a sweeping corporate overhaul as it tries to catch up with Internet users who have shifted to using smartphones and tablets instead of laptop and desktop computers. Yahoo had about 12,500 workers worldwide at the end of 2014.

Yahoo turned over control of its China operations to its partner Alibaba Group in 2005 as part of a corporate tie-up. Yahoo stopped offering services in China in 2013.

That year, it told email users to transfer their accounts to Alimail, an email service offered by Yahoo’s close partner in the region, Alibaba Holding Group Ltd.

The Chinese address for its home page, Yahoo.cn, redirects visitors to its Singapore site.

Last month, Yahoo cut about 1 per cent of its workforce, or about 125 people, including editorial staff in Canada. The company also closed its office in Amman, Jordan, and eliminated about 400 positions at its site in Bangalore, India, in recent months.

Yahoo's profit for the quarter ending in December fell 52 percent from a year earlier while revenue dipped 1 percent.

Yahoo’s move is the latest in a series of retrenchments by U.S. technology companies operating in China. Last month, gamemaker Zynga (NASDAQ:ZNGA) said it will close its Beijing office, terminating 71 employees.

Microsoft (NASDAQ:MSFT) said in December it was shutting phone factories in Beijing and Dongguan as part of a consolidation of its Asia manufacturing in Vietnam.

Shares of Yahoo rose as much as 0.7 percent in New York premarket trades. They closed up 2 percent to $44.67, stretching gains over the past year to 19 percent. The stock is down 12 percent this year.

]]>
Thu, 19 Mar 2015 12:55:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/105981/yahoo-to-close-rd-office-in-china-said-to-cut-300-jobs-60518.html
Yahoo eliminates 100-200 jobs, mostly in Canada, to cut expenditures http://www.proactiveinvestors.co.uk/companies/news/105498/yahoo-eliminates-100-200-jobs-mostly-in-canada-to-cut-expenditures-59864.html Yahoo (NASDAQ:YHOO) is cutting between 100 and 200 employees, mostly in Canada, the Wall Street Journal reported, citing a person familiar with the matter.

The layoffs, focused on employees in the company’s Canadian offices, would affect roughly 1 percent of Yahoo’s world-wide staff of 12,500, this person said.

Chief executive officer Marissa Mayer is trying to rein in expenditures as she faces pressure from activist investor Starboard Value LP.  In a letter to the CEO last September, the investor advocated a plan that would reduce costs by as much as $500 million. Last year, Yahoo hired the services of management consultants, McKinsey & Co., to help it balance its budget expenses.

The cuts follow the layoff in October of 400 employees, or about 3 percent of Yahoo’s global staff. Those cuts were mostly within product teams in Bangalore, India, and eliminated about one-third of the company’s workforce in that office.

In an emailed statement late yesterday, Yahoo said: “We constantly make changes to better align our resources and investments with our strategic priorities.”

Mayer, who took over as CEO in 2012, has closed 12 offices during her tenure, most recently in Vietnam, Malaysia, Indonesia and Budapest.  The company had 12,500 full-time employees at the end of December.

Shares of Yahoo were up 0.7 percent at $44.37 at 10:17 a.m. in New York. The stock is down 12 percent this year.

“As of today I’m no longer with Yahoo Canada,” tweeted an entertainment editor in Toronto. “Sad to move on, but grateful for three-and-a-half fun years.”

“Dark day at Yahoo Canada,” tweeted another editor. “By my count, Yahoo Canada laid off 35 percent of its editorial staff today.”

In addition to job losses in Toronto, French-language newspaper Les Affaires reported that the company closed its Yahoo Québec newsroom in Montreal, laying off about a dozen journalists there but retaining its sales staff.

In Canada, the Toronto office reportedly had about 150 people in 2013.

]]>
Fri, 13 Feb 2015 14:29:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/105498/yahoo-eliminates-100-200-jobs-mostly-in-canada-to-cut-expenditures-59864.html
Yahoo to include Small Business unit in Alibaba stake spinoff deal http://www.proactiveinvestors.co.uk/companies/news/105351/yahoo-to-include-small-business-unit-in-alibaba-stake-spinoff-deal-59662.html Yahoo (NASDAQ:YHOO) has decided to separate its Small Business unit as part of the spinoff of its stake in Alibaba Group Holding (NYSE:BABA).

Yahoo Small Business helps small enterprises set up and run their businesses online.

The unit is being included as part of a tax-free plan to maximize returns. Yahoo is bundling the small business unit and 384 million shares of Alibaba, valued at $34.8 billion, into shares of a newly registered entity called SpinCo that will be distributed to existing Yahoo shareholders.

"We're mapping out additional investments now for our platform and services," Yahoo Small Business said on its Tumblr page late yesterday.

Yahoo Small Business has more than 100 employees, the Wall Street Journal reported, citing people familiar with the matter.

Yahoo Small Business is a bit more significant than a costume shop. It sells e-commerce tools, domain names, Web hosting and local listing services to more than 1.5 million paying customers. They include women’s fashion site GoJane.com, guitar string provider StringsandBeyond.com, and cubic-zirconium jewelry outlet Emitations.com.

Yahoo has offered a version of this service since 1998, when the company acquired e-commerce tool provider Viaweb, a startup founded by Paul Graham, for $49 million.  Graham later became a seed investor in tech startups and founded the popular startup incubator YCombinator.

The small business group makes about $50 million in earnings before interest, taxes, depreciation and amortization, Yahoo finance chief Ken Goldman said on a call with analysts last week.

The transaction is expected to occur in the fourth quarter. The unit will move to SpinCo prior to completion of the transaction.

Shares of Yahoo inched up 0.3 percent to $44.87 at 9:44 a.m. in New York. The stock has gained 26 percent over the past year.

]]>
Wed, 04 Feb 2015 13:51:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/105351/yahoo-to-include-small-business-unit-in-alibaba-stake-spinoff-deal-59662.html
Yahoo to spin off Alibaba stake into new company http://www.proactiveinvestors.co.uk/companies/news/105262/yahoo-to-spin-off-alibaba-stake-into-new-company-59538.html Yahoo (NASDAQ:YHOO), the second most visited Web property after Google (NASDAQ:GOOG), said it would spin off its remaining $40 billion stake in Alibaba (NYSE:BABA) into a separate entity.

Yahoo said its board of directors has authorized a plan to spin off the stake, tax-free, into a newly formed independent registered investment company, SpinCo.

The stock of the company will be distributed pro-rata to Yahoo shareholders and the transaction is expected to close in the fourth quarter of 2015, Yahoo said.

The new entity will include Yahoo's 384 million shares in Alibaba as well as an unspecified "legacy, ancillary" Yahoo business, the company said.

Shareholders feel that Yahoo and its stake in Alibaba would be worth more separately, as long as the Alibaba shares are not subject to the standard 35 percent tax rate that would be incurred from selling the shares.

Yahoo was worth about $45 billion at Tuesday's market close. That includes its Alibaba stake of nearly $40 billion, meaning the current Yahoo share price assigns little value to the core business. Some investors believe the email, website and other operations are worth between $7 billion and $8 billion.

The stake dates from 2005, when Yahoo bought into Alibaba early, paying $1 billion for a 40 percent stake in a deal credited to the American company's co-founder Jerry Yang.

The spinoff news overshadowed declining revenues and earnings from Yahoo's most recent quarterly results.

The Sunnyvale, California-based company reported late yesterday revenue for the last three months of 2014 dropped to $1.25 billion from $1.27 billion in the year-earlier quarter.

Net income fell to $166 million in the most recent quarter, compared to  $348 million in the year-earlier period.

Operating earnings were $0.30 per share, a penny over forecasts from analysts polled by Capital IQ.

Sales also beat revenue estimates of $1.19 billion.

Shares of Yahoo fluctuated today. They were trading at $97.95, down 4.8 percent at 3:33 p.m. in New York.

]]>
Wed, 28 Jan 2015 19:33:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/105262/yahoo-to-spin-off-alibaba-stake-into-new-company-59538.html
Uber's valuation rockets in latest funding round http://www.proactiveinvestors.co.uk/companies/news/64272/ubers-valuation-rockets-in-latest-funding-round-75107.html Investors continue to queue up to invest in mini-cab booking app developer Uber.

]]>
Fri, 05 Dec 2014 10:36:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/64272/ubers-valuation-rockets-in-latest-funding-round-75107.html
Uber's valuation rockets in latest funding round http://www.proactiveinvestors.co.uk/companies/news/64279/ubers-valuation-rockets-in-latest-funding-round-75105.html The latest round of fund-raising by mini-cab booking app developer Uber implies a mind-boggling US$40bn valuation for the company.

The company has raised US$1.2bn through an issue of shares to unnamed backers at a price that puts a valuation on the whole company of around £25.5bn, meaning it is more highly valued that online titans Twitter and Linkedin, and not far off the US$48bn market capitalisation of Internet portal Yahoo!

"We have just raised a financing round of US$1.2 billion, with additional capacity remaining for strategic investments. This financing will allow Uber to make substantial investments, particularly in the Asia Pacific region," said co-founder and chief executive officer Travis Kalanick.

Uber's previous fund raising back in June was done at a price that valued the company at US$17bn, so the market has really taken a shine to the company in recent months, despite - or possibly because of - bitter opposition to the cab-booking phone app from licensed cab operators in many cities, not to mention the regulatory authorities in many countries.

The company has also been in hot water over alleged misuse of customers' private data, and there have been reports of one executive suggesting the company run a smear campaign against journalists who are not sympathetic to the company's global ambitions.

Kalanick acknowledged in a blog posting that the company has experienced "significant growing pains".

"The events of the recent weeks have shown us that we also need to invest in internal growth and change," Kalanick said.

"We will be making changes in the months ahead," Kalanick vowed.

"Done right, it will lead to a smarter and more humble company that sets new standards in data privacy, gives back more to the cities we serve and defines and refines our company culture effectively," he added.

]]>
Thu, 04 Dec 2014 23:09:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/64279/ubers-valuation-rockets-in-latest-funding-round-75105.html
Yahoo climbs after posting modest rise in Q3 revenue http://www.proactiveinvestors.co.uk/companies/news/103788/yahoo-climbs-after-posting-modest-rise-in-q3-revenue-57596.html Yahoo (NASDAQ:YHOO) climbed in midday trades in the wake of reporting a modest increase in revenue during the third quarter, exceeding lackluster Wall Street targets. 

Shares were up 4.8 percent at C$42.11 at 2:20 p.m. in New York.

Yahoo's revenue, excluding fees shared with partner websites, was $1.094 billion in the July-to-September quarter, a 1 percent increase from $1.081 billion in the year-earlier period, the Sunnyvale, California-based company said in a statement late yesterday.

Analysts were looking for adjusted revenue of $1.045 billion.

Yahoo's revenue growth has stalled in recent years as its once-hot Web portal and email service have trailed behind competitors such as Google and Facebook. The company revamped many of its products and acquired a string of companies during the past two years, but she has been unable to revive the company’s revenue growth.

Yahoo said that its display advertising revenue, which accounts for roughly 40 percent of Yahoo's total revenue, declined 5 percent in the third quarter. 

Revenue from Yahoo's search business rose 4 percent year-on-year to $452 million.

The company broke out mobile advertising revenue for the first time, saying it was more than $200 million in the third quarter. Yahoo said it expected gross mobile revenue for the full year to exceed $1.2 billion.

The highlight of the quarter was the $6.3 billion Yahoo reaped from the sale of Alibaba shares, which was higher than analysts expected.

Yahoo will have 4.9 percent of the $50.7 billion market for online advertising in the U.S. this year, down from a 7.2 percent share last year, according to research firm eMarketer.

While Yahoo's share of the online ad pie is expected to decline, Facebook's share is expected to grow to 9.7 percent, up from 7.6 percent last year. Google's share will decline slightly to 38.3 percent this year from 39.7 percent in 2013, eMarketer predicts.


]]>
Wed, 22 Oct 2014 19:43:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/103788/yahoo-climbs-after-posting-modest-rise-in-q3-revenue-57596.html
IBM hands over semiconductor business at a cost of $1.5 bln, misses Q3 views http://www.proactiveinvestors.co.uk/companies/news/103728/ibm-hands-over-semiconductor-business-at-a-cost-of-15-bln-misses-q3-views-57519.html IBM (NYSE:IBM) shares tumbled in early trade Monday following news that it plans to hand over control of its semiconductor operations to privately-held Globalfoundries at a cost of $1.5 billion over the next three years, while also reporting a big third quarter earnings miss.

]]>
Mon, 20 Oct 2014 14:33:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/103728/ibm-hands-over-semiconductor-business-at-a-cost-of-15-bln-misses-q3-views-57519.html
UPDATE - Alibaba races to premium in New York float http://www.proactiveinvestors.co.uk/companies/news/61917/update-alibaba-races-to-premium-in-new-york-float-72421.html Alibaba Group, the Asian e-commerce giant, shot out of the starting gate, with shares opening in New York at US$92.7 each.

]]>
Fri, 19 Sep 2014 17:09:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/61917/update-alibaba-races-to-premium-in-new-york-float-72421.html