According to Jim Lanzone, the CEO of Yahoo, the partnership with Taboola will allow both companies to be in a good position when the ad market starts to recover. Despite the concerns about the decline in the digital advertising market, Yahoo is still pushing ahead with its efforts. In an interview, the company’s chief executives said that the company is taking a 25% stake in Taboola. Taboola is a company that provides web links that catch the attention of users.
The deal comes from a 30-year agreement between the two companies. Through the partnership, Yahoo will be able to use Taboola’s tech to help manage its large ad business, which mainly consists of native ads. Over the past year, the share price of Taboola has dropped by over 80%. Due to the lackluster performance of the advertising and public markets, the company’s market capitalization has decreased to $455 million.
According to executives at various companies, such as TikTok and Meta, the advertising industry is struggling due to uncertainty about the economy. Despite the current economic uncertainty, Jim Lanzone, the CEO of Yahoo, believes that the digital advertising industry will continue to grow. He noted that the industry will have a long-term positive impact on the company’s operations.
For many years, Yahoo was one of the most prominent internet companies. However, it has started to lose ground with other companies, such as Google and Facebook. The company’s leadership and power struggle led to various changes in its strategy and operations.
In July 2014, an investment firm known as Apollo Global Management took the company private. The goal of the company’s private equity firm was to give it a break from the public markets and allow it to grow. According to the company, it has around 900 million monthly users, which is more than any other website on the Internet.
Taboola was founded in 2007 and is focused on providing native advertising to its many clients. The company operates an advertising network that spans various websites, such as NBC News and CNBC. Yahoo is going to become the majority shareholder for Taboola.
Dil Bole Oberoi
