Internet search giant Yahoo! announced on Tuesday that it was revamping its structure and management to better cash in on its popularity and potential as an advertising vehicle.
Dan Rosensweig will step down as chief operating officer in March of next year and the company will be divided into three groups, one devoted to technology and two that will be ”customer focused”, according to Yahoo!
The executive heading each group will report directly to Yahoo! chief executive Terry Semel.
”We’re moving aggressively to deliver the most possible value to our key customers — audiences, advertisers and publishers — and seize the major new opportunities we see ahead for the internet,” Semel said in a release.
”We plan to drive growth and profitability by leveraging our deep audience insights to create a full-fledged advertising network.”
Chief financial officer Susan Decker will become the boss of a newly created advertising and publisher group intended to ”lead the transformation of how advertisers connect with their target customers” on the internet, Yahoo! said.
A search is on for someone to replace Decker, who has been chief financial officer at Yahoo! since 2000.
The Sunnyvale, California, firm is also seeking someone to head a new audience group with the mission of creating ”unique, tailored and engaging experiences” for Yahoo! users.
Chief technology officer Farzad Nazem will continue in his position but be in charge of a group with a mandate to speed innovation, particularly of advertising platforms that build on Yahoo!’s Project Panama network.
While Yahoo! is a preferred destination on the internet, its ability to convert user visits into revenue has been lacking in comparison to the lucrative techniques employed by online search rival Google.
The company’s stock price has suffered this year due to the firm’s failure to effectively ”monetise” its online services and post revenues that impressed investors.
”Our new structure gives us the opportunity to draw more fully on Yahoo!’s deep bench of talent while also increasing accountability, reducing bottlenecks and speeding decision-making,” Semel said.
”We’re putting the right people in the right places to execute our focused growth strategy.”
Yahoo! said it was moving aggressively to take advantage of growth opportunities on the internet.
Moves made by Yahoo! during the past month included partnerships with more than 150 United States newspapers to deliver content online and a cellphone advertising alliance with Vodafone.
Yahoo! decided to acquire the website Bix, which is devoted to online amateur talent contests. Yahoo! also finally rolled out its new Panama Project search advertising platform.
The management changes will take effect at the start of January and the restructuring would be completed by the time Rosensweig leaves at the end of the first fiscal quarter of the year. – Sapa-AFP