Verizon is exploring a sale of Yahoo and AOL that would end a tough era for the telecommunications company as media owner after a disappointing series of acquisitions. A sale could bring in $ 4 billion to $ 5 billion and giant investment group Apollo Global Management is involved, according to a Wall Street Journal report.
Representatives for Verizon and Apollo were not immediately available for comment.
The move, although a reversal, would not be surprising. Verizon bought the powerful Internet pioneer that became something of a punchline AOL for $ 4.4 billion in 2015, and Yahoo for $ 4.5 billion two years later. He merged them into a new company called Oath and appointed Tim Armstrong, then CEO of AOL, to lead it. It left in late 2018. At that point, Verizon announced a significant $ 4.6 billion write-down of Oath’s assets, claiming that competitive pressures in the digital advertising industry had nullified the potential of the Yahoo-AOL integration. He dropped the nickname Oath and renamed the division Verizon Media Group.
Basically Google, Facebook, and now Amazon are absorbing the lion’s share of national digital advertising and Oath has not been able to compete.
Verizon had already started to get rid of some of its business. In November of last year, he sold the HuffPost to BuzzFeed. In 2019, he offloaded social media site Tumblr to Automattic, the company that owns WordPress.
Verizon also owns Techcrunch, Engadget, the Ryot design studio.