Latest in Culture

Image credit:

Verizon is reportedly close to buying Yahoo for $5 billion (updated)

Do you Yahoo? Verizon does.
1289 Shares
Share
Tweet
Share
Save

Sponsored Links

Remember when Verizon bought out AOL (Engadget's parent brand) last year? Then get ready for deja vu: the communications giant is reportedly in closing talks to purchase Yahoo later this year. Sources familiar with the deal have told Bloomberg and Recode that Verizon is offering almost $5 billion to take over Yahoo's core business and real estate holdings. The deal still isn't finalized, but sources say it's close. That's good news for Tim Armstrong, who's been hoping to use the buyout to expand the AOL userbase from 700 million to almost two billion.

For Yahoo, the selling processes is the end of a long journey. When Marissa Mayer took over as CEO in 2012, the company's core services were struggling to maintain relevancy. Mayer restructured the firm to focus on mobile development, cut fat and eventually performed a "reverse spin-off" to save on taxes, moving all of its business except Alibaba into a new company. Despite this, the company still wound up pitching a sale to bidders earlier this year. It looks like they may finally have a buyer.

Even so, don't place any bets just yet: negotiations are still ongoing, and the presumptive sale could still fall apart. Even if it does, one thing is clear -- Yahoo's days as an independent company seem to be numbered.

Update: Wall Street Journal sources understand that Verizon has finalized a $4.8 billion deal that will be announced on July 25th.

Verizon owns Engadget's parent company, Verizon Media. Rest assured, Verizon has no control over our coverage. Engadget remains editorially independent.

All products recommended by Engadget are selected by our editorial team, independent of our parent company. Some of our stories include affiliate links. If you buy something through one of these links, we may earn an affiliate commission.
Comment
Comments
Share
1289 Shares
Share
Tweet
Share
Save

Popular on Engadget

Engadget's Guide to Privacy

Engadget's Guide to Privacy

View
‘Terminator: Resistance’ will pit you against Skynet this December

‘Terminator: Resistance’ will pit you against Skynet this December

View
‘Apex Legends’ Season 3 launches with a new hero on October 1st

‘Apex Legends’ Season 3 launches with a new hero on October 1st

View
Inside Apple's redesigned 'cube' store in New York City

Inside Apple's redesigned 'cube' store in New York City

View
Huawei’s Mate 30 Pro has a 'quad-camera' and a vegan leather option

Huawei’s Mate 30 Pro has a 'quad-camera' and a vegan leather option

View

From around the web

Page 1Page 1ear iconeye iconFill 23text filevr