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With Yang out, big changes coming to Yahoo?

Sharon Gaudin | Jan. 19, 2012
Yahoo co-founder Jerry Yang's departure this week from the company should put in in a better position to take drastic action to fix its long-running woes.

Patrick Moorhead, an analyst with Moor Insights & Strategy, noted that by getting rid of a co-founder, Yahoo could try to start fresh with a new CEO and a founder-free board.

"This is a classic case of a founder getting tagged with the issues of a company in distress and a view by those in power that he's not part of the solution," he added. "Sometimes to recreate and reinvigorate a company, as the investors are asking, they need to demonstrate physical change, or an iconic figure leaving the company."

With Yang out, Thompson has more autonomy to lead the board through his preferred path.

"Getting rid of a strong redundant leader is always a good first step for a new CEO," said Enderle. "This would indicate a strong start."

 

 

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