Yahoo slashes 400 jobs

by MediaWeek Media Week 16-Nov-01

Yahoo slashes 400 jobs

Internet company Yahoo! is cutting its workforce by 10% worldwide - around 400 employees - as part of a restructuring plan to increase profits. The dotcom said it was shaking off the arrogant mistakes of its past and reinventing itself as a mature company facing up to the challenges of the current economic climate.

The jobs cuts will be made in international and broadcast operations and middle management, but around 100 people would be recruited in other areas, its said.

The group said it would diversify away from advertising as its major income source; by 2004 no more than 50-60% of revenues would come from ads, it said, compared to 76% this year.

Yahoo! recorded a loss of $24.2m for the three months to the end of September and saw revenues drop 40% to $166.1m.