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Verizon Sells AOL and Yahoo to Apollo for $5B

nytimes.com

171–180 of 366 posts

Re: Verizon Sells AOL and Yahoo to Apollo for $5B

#171

Earlier quoted context omitted.

I'm surprised Twitter hasn't been interested in Yahoo Finance and Yahoo sports apps. The onboarding into Twitter, integration with tweets would be worth billions. A lot of "regular people" use those apps, and Twitter investors are looking for the user growth. Also, if Twitter is going to become a platform for interests/topics, it would be good to have a couple of standalone apps on some core topics.

My off the wall suggestion would be for Coinbase to acquire them. They certainly have enough firepower to do a stock acquisition. The Yahoo Finance portal would run as a subsidized loss leader to on-ramp new customers into crypto investing. Setting up the portal to put crypto assets on the same footing as traditional assets would do a lot to appeal to older or more conservative investors who view crypto as "magic Int…

Just FYI, 'conservative investors' do understand crypto, they just think it's a bad investment.

Re: Verizon Sells AOL and Yahoo to Apollo for $5B

#172

Earlier quoted context omitted.

Venture Capital firms love to use throw debt at an asset so that they can have a cash windfall. The result is that the assets can never pay off the debt and end up declaring bankruptcy. See K-Mart, Sears, Toys R' Us, and anything that a vulture capitalist touches.

Your view of how LBOs work is really misinformed. You picked 3 famous PE deals that failed, but those are exceptions. Apollo alone has done 150 private equity transactions, the vast majority of which have been tremendously successful otherwise investors would not be giving them more money to continue to invest.

A lot of PE follows a well-understood playbook. Buy a player in a settled industry, cut costs (== reduce maintenance, make the workforce cost less, etc.) and milk it for as long as possible.

That tends to work for investors; customers and employees, well.

The Artist Formerly Known as SolarWinds is PE owned.

Re: Verizon Sells AOL and Yahoo to Apollo for $5B

#174

I'm really surprised that Yahoo Finance has not been spun out as an independent company at this point. I think as a stand-alone company it could easily be worth in the billions of dollars. Reportedly Yahoo Finance has revenue between $100M and $250M annually. With the increase in retail interest in investing it seems like a property that could have some growth potential behind it if they did things right and separate…

Is that revenue from ad impressions? They did $1.3bn in their last public quarter, and in that earnings report they lump it in with homepage and sports in the one place it's mentioned, so I don't think it's particularly important (to them).

Also, what does it do that retail brokers don't offer better and for free now? News aggregation?

Re: Verizon Sells AOL and Yahoo to Apollo for $5B

#175

Earlier quoted context omitted.

Sigh. Remember when Google Finance was great with easily the best charting software and easy lookup of key stats for a company? Then they decided a couple years ago to destroy it for no reason. I wish I knew why they made this horrible decision.

Google seems to get tired of its own products very easily, and just kills them, even if they are popular.

Or makes them worse by "developing" them

Eg: Google Chrome on Android

Re: Verizon Sells AOL and Yahoo to Apollo for $5B

#176
post #40

Earlier quoted context omitted.

What is DuckDuckGo buying from Yahoo? I was under the impression that both search and ads has supplied by Microsoft.

Who does Microsoft partner with for ad monetization? Verizon Media

But still how does that make DDG a Yahoo customer?

Re: Verizon Sells AOL and Yahoo to Apollo for $5B

#177

Earlier quoted context omitted.

They made $1.9BN just this quarter.

Do you have their annual statements? I could not find any beyond the 2017 sec filing. Yahoo has been only marginally profitable for many years now. I don't see any future cashflows, incomes, dividends or even any plan for foray into new business areas. For all intents and purposes, it's a dead company.

Yahoo is the 8th most visited property in the world [1] and still brings in billions in revenue. Pretty good for a "dead" entity.

[1] https://www.visualcapitalist.com/the-50-most-visited-website...

Re: Verizon Sells AOL and Yahoo to Apollo for $5B

#178
post #89

A headline with 5G but not a single mention of it in the article. If any insider from Verizon may be could help explain why their insistence on mmWave 5G for Phones. ( And Phone only, not fixed Wireless internet access ) It doesn't make sense to me when the spec (3GPP) were announced, doesn't make sense when Verizon actually announced it, and still doesn't make any sense when they are now up and running. Both from a…

The reason why they are heavily marketing their mmWave 5G is because they are charging an additional $10/mo/line for access and implying (falsely) that most folks with a modern phone will experience a much faster and lower latency connection at most times. In truth, consumers will only be able to connect to the mmWave network on a handful of outdoor street corners in a few metros - the frequency band (60GHz) does not…

They have deployed a bunch of mm towers in the metros. LA went from a few blocks to having widespread coverage since last summer. Still not worth the extra $10 a month and the reduction on battery life. I have my 5G disabled. 5G ultra wide is only useful for home internet as a replacement for cable based internet.

Re: Verizon Sells AOL and Yahoo to Apollo for $5B

#179
post #10
post #9

From the article: …“it agreed to sell Yahoo and AOL to the private equity firm Apollo Global Management for $5 billion.” They apparently paid $4.4 billion for AOL, and Yahoo they got for $4.48 billion. I have to say: only losing $5 billion while handling the decaying corpses of AOL and Yahoo is, weirdly, kind of a triumph. These are cursed properties, and bring only despair. Though I’m surprised they didn’t try to ke…

AOL has adtech advertisers setup with some large customer base probably 3rd or 4th to Google/Facebook. It also owns publishers like HuffPost, TechCrunch etc.

HuffPost was sold to Business Insider in 2020.

https://www.huffpost.com/entry/buzzfeed-to-acquire-huffpost_...

Re: Verizon Sells AOL and Yahoo to Apollo for $5B

#180

Earlier quoted context omitted.

I'm surprised Twitter hasn't been interested in Yahoo Finance and Yahoo sports apps. The onboarding into Twitter, integration with tweets would be worth billions. A lot of "regular people" use those apps, and Twitter investors are looking for the user growth. Also, if Twitter is going to become a platform for interests/topics, it would be good to have a couple of standalone apps on some core topics.

My off the wall suggestion would be for Coinbase to acquire them. They certainly have enough firepower to do a stock acquisition. The Yahoo Finance portal would run as a subsidized loss leader to on-ramp new customers into crypto investing. Setting up the portal to put crypto assets on the same footing as traditional assets would do a lot to appeal to older or more conservative investors who view crypto as "magic Int…

>”magic Internet money”

>DOGE

Not really helping your case here

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