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Thursday, 8 September 2011

Yahoo Chief Executive Fired Over the Phone


Carol Bartz, the Chief Executive of Yahoo has been fired after two-and-a-half years in the top position. 

Ms. Bartz was hired to run Yahoo in early 2009, taking over from co-founder Jerry Yang.  To make her mark she made significant changes to the management team and cut jobs to save on costs. She also shifted the focus of the traditionally search-oriented firm towards more personalised content. 
However, in 2011, Yahoo is still struggling to increase its market share, as it faces increased competition from rivals such as Google and Facebook.  Without the internet company making significant strides in search or social networking, two of the most lucrative segments of the market, they are still a long way behind their rivals. 
Carol Bartz leadership came to an abrupt end as the Chairman of the board ended her term over the phone with immediate effect.  Larry Magid, a technology analyst at C-net, justified the move stating that the company has not seen enough of a turnaround under Ms. Bartz's leadership.

Tim Morse, Yahoo's chief financial officer, will take over from Ms Bartz. Yahoo shares jumped more than 6% in after-hours trading after news of the firing broke, indicating they would trade higher when Wall Street opened for business on Wednesday.

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