Can Yahoo Catch Up With Google?
Yahoo and Google both have a long history of snapping up emerging businesses and this trend has been evident recently, with the latter revealing that in the first half of 2013 it spent as much as $1.3 billion on acquisitions such as Waze. The amount paid to Waze is said to be in the region of over $900 million, demonstrating the hunger of the search giant and its determination to continue to lead the web market. Other companies and services that Google has acquired over the past months include Wavii and Channel Intelligence – a rapidly-growing ecommerce facility. In fact, it’s said to have bought up as many as 53 companies in 2012, most notably Motorola Mobility for $12.5 billion.
Marissa Mayer was evidently behind a number of these acquisitions before she led to enhance the portfolio of Yahoo, who only made two acquisitions last year. Since Mayer assumed her now role, it has made 18 acquisitions, and looks set to continue its merger and acquisition activities now that it has a lucrative stake in Alibaba too. Yahoo has spent years upon years chasing Google and seems arguably more resilient in its quests than ever. It’s said that some areas that it is in dire need of improvement in are mobile, search, video and media – something which it seems can only be turned around via further M&As.
A Younger Identity?
Much can be read into the different acquisitions both web giants are making, but it’s said that one of Yahoo’s greatest weaknesses lies in its PR. It has been seen as confused and directionless for some time, but many have interpreted the recruitment of Mayer to be demonstrative of Yahoo’s need to return itself to the cutting-edge of young business and entrepreneurship, with the acquisition of the very youthful Tumblr said to be a fine example of this.