Yahoo! Announces New Strategy
After laying off 14 percent of it's workforce, Yahoo! announced a regime change in leadership and focus. The company restructured itself around the following three areas: consumer, region and technology. The interim CEO, Ross Levinsohn, stated his goal is to build Yahoo! into a digital entertainment destination spot. The ultimate goal is advertising revenue.
Yahoo! is carefully introducing this new strategy to the media outlets. I question how the strategy and vision was communicated to the managers and staff. Declaring the aim of being a digital destination for entertainment does not translate to daily tasks.
Levinsohn has been with Yahoo! for two years, thus I do believe that this new strategy was developed from within. I can only trust that it was developed by Levinsohn and his business unit heads.
The concept of becoming a digital destination spot is a tall order, as the market is saturated with entertainment choices online. What is left to be seen is what can Yahoo! do differently, what will set it apart from the crowd? Unfortunately, I've seen nothing that leads me to believe that they will be anything more then MSNBC, Google or individual internet providers. And maybe that is the ultimate goal - to be a part of the pack and divert advertising goals from those established in the field.
"CEO Hints at a Strategy," New York Times. April 10, 2012.
"Yahoo under Levinsohn seen shifting to content, advertising," Reuters. May 22, 2012.