Yahoo will lay off around 1,700 employees and “shed some of its excess baggage” in move meant to get rid of services the company no longer wants to focus on.
According to a report by AP, Yahoo CEO Marissa Mayer plans to sell the unwanted services for about $1 billion – but has not made public which services these will be.
“Mayer also said Yahoo’s board will mull strategic alternatives that could result in the sale of all the company’s Internet operations,” stated the report.
Mayer said her plan to run a “smaller, more focused company” will improve Yahoo’s competitiveness.
“This cost-cutting overhaul might be Mayer’s last chance to persuade restless shareholders that she has figured out how to revive the Internet company’s growth after three-and-half years of futility,” stated AP.
Yahoo’s revenue has decreased through most of Mayer’s tenure, stated the report, while she has spent over $3 billion on purchasing more than 40 companies.