Yahoo Closes Enterprise Software Division

Nov 04, 2003

Yahoo has reportedly closed its enterprise software division. Although Yahoo will continue to offer the products formerly a part of the division, they will be managed by different members of the company. The enterprise software division of Yahoo has been having financial problems for some period of time, including a $6-7 million loss announced in April likely from de-emphasizing its broadcast business.

A spokesperson for Yahoo! has confirmed that the company will continue to support existing customers but will not renew expired contracts nor seek additional customers. The spokesperson has been quoted as saying that, "The businesses we are discontinuing are no longer in line with our core Yahoo! business and did not have long-term viability." Core businesses were defined as search, access, ads, products, and communications.

The SVP of the enterprise solutions division, Steve Boom, will continue to manage the corporate IM product, but will report to different management. As a result of the closing, Yahoo has laid off an undisclosed number of employees from the Sunnyvale, California headquarters as well as Dallas and Atlanta locations.