What’s next for Yahoo CEO Marissa Mayer?

Now that Verizon is buying Yahoo, what will happen to Yahoo CEO Marissa Mayer?

“I plan to stay,” Mayer said during the company’s call with investors Monday. “I love Yahoo.”

The sale to Verizon means Yahoo will be integrated with another Internet pioneer, AOL, whose CEO is Tim Armstrong. Verizon bought AOL last year.

“Tim and I are old friends and colleagues, and I respect him and look forward to working with him again,” Mayer said on television this morning during an interview on CNBC’s “Squawk on the Street.”

Armstrong and Mayer worked together at Google. Mayer, an engineer, reportedly looked down on Armstrong’s ad-sales background. But in 2014, the two were seen huddling, fueling speculation about a tie-up.

Now, analysts such as Mark Mahaney of RBS Capital Markets are saying Armstrong is the right person to figure out what to do with Yahoo — something Mayer, who has been chief executive since 2012, and other former CEOs have failed to do as the company struggles to compete for ad revenue with the likes of Google and Facebook.

Would Mayer — who was independently wealthy before she took the CEO job and stands to make tens of millions of dollars more after Yahoo’s sale — really want to work under Armstrong?

“It’s hard to envision her staying on,” Eric Jackson, managing director of Yahoo shareholder SpringOwl Asset Management, said in an email to SiliconBeat. “Most likely she will remain through the transition and not beyond that period.”

The $4.8 billion sale — of Yahoo’s core Internet business and some of its real estate and other assets but not its Alibaba stake and Yahoo Japan — is expected to be completed in the first quarter of 2017.

But Mayer, who was asked in a few different ways by different TV interviewers this morning whether she’d be riding off into the sunset, stuck to her message.

“What really motivates me is people — and the opportunity to transform the world,” she said. She cited her time at both Google and Yahoo as giving her the chance to do that.

That echoed her message to the Sunnyvale company’s employees, in which she reflected on Yahoo’s role in “changing the world” and painted the sale to Verizon as “a great opportunity for Yahoo to build further distribution and accelerate our work in mobile, video, native advertising, and social.”

As for whether Armstrong will want to keep Mayer on, his message to employees this morning said: “During the time before close, we will be working closely with Marissa and the Yahoo leadership team to plan our future strategy based on the scale of our portfolio.”

 

Photo: Yahoo CEO Marissa Mayer delivers the keynote address Feb. 18, 2016, at the Yahoo Mobile Developer Conference in San Francisco. (AP/Eric Risberg)

 

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  • Miffler J. Tripod

    Be yet another undeserving uber rich person in SIlicon Valley looking for new “challenges”.

    • TrickyDickie

      “Which company can I run into the ground next…?” Lol

  • It will be an interesting transition for both Yahoo and Verizon. It is so important that these two companies consider the cultures that they are combining. Keeping the same leadership might be a good idea to start as long as that leadership is doing everything they can to keep their teams calm and emotionally safe. Read more about how to successfully make it through an acquisition here: http://bit.ly/2a8Nnf4

    • hoapres

      Uh No.
      There isn’t going to be a transition. Almost all of the Yahoo employees are getting laid off.

  • Cheap & Nothing Wasted

    Here’s an interesting question I haven’t heard anything about.
    AT&T runs its email service through Yahoo. But since AT&T compete in the wireless business, will AT&T continue to use Yahoo or will they move to a new servicer or start their own email service for their customers.
    Yahoo’s email is beyond atrocious, at one point, it was actually sending emails from AT&T to its customers to spam!

  • Zeezladon

    If Marissa Mayer has any class, she will take some of her $55M golden parachute and personally contribute to the severance packages to all those people who are about to lose their jobs because of her leadership.

  • What should she do now? Stay home and count her money. That’ll keep her busy for years.

  • hoapres

    Mayer is gone and she knows it.

 
 
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