Mayer says Yahoo can be successful in mobile without an OS, but can it be profitable?

Mayer says Yahoo can be successful in mobile without an OS, but can it be profitable?
Marissa Mayer has a vision for Yahoo, and that vision most definitely includes a strong mobile strategy. The company hasn't made much of an impact on mobile yet, but Mayer is determined to make the company successful in the mobile space without having its own smartphone OS. The comments came during the company's Q3 earnings call where Mayer announced revenues of $1.09 billion and earnings per share of $0.35. 

Mayer said that not having its own mobile OS would work to the company's advantage and allow the company to innovate across platforms. Of course, at that point Mayer only mentioned iOS and Android, and didn't seem too eager to support Windows Phone or BlackBerry. Mayer intends to leverage the strengths of the company in order to supply services, and more importantly content to users, specifically mentioning Yahoo's stock ticker and weather services as well as seeming to point to Flickr and "sharing photos". 

But, from our standpoint, the real question isn't whether Yahoo can be "successful", but rather in how the company will be able to draw revenue from mobile. There is no question that services like Facebook, Twitter, Instagram, and Pulse are successful in the mobile world, but success doesn't necessarily mean profitability. Ads aren't the easiest sell on mobile, Yahoo doesn't have content to sell, and no one is going to pay for a Yahoo app, so Mayer must have some sort of trick to make it work. Maybe she can even lead the way and show Twitter and Facebook how to build a business and not just a successful product. 

source: The Next Web



1. someones4

Posts: 627; Member since: Sep 16, 2012

She can't be a google exec or a ceo by just sitting on her hands... but what else can Yahoo offer? Their services are deplorable compared to google. The only thing i can think of is maybe they can move to hardware...

2. MichaelHeller

Posts: 2734; Member since: May 26, 2011

Yahoo has a great stable of content services, and it seems a bit odd to even try comparing Yahoo to Google, since good is more about products and services than content (for now). Yahoo search is powered by Bing, so on that you're comparing Bing and Google, not Yahoo. Then, Yahoo's content services like News, Sports, Gossip, etc are far better (and get much more traffic) than Google's offerings. Yahoo Shopping is much better designed than Google Shopping. The only spots where Yahoo is behind are Picasa vs Flickr (although I wouldn't expect that to last long), Yahoo's awful purple theme (which is expected to be killed as well), and Gmail vs Yahoo (which isn't as far apart as some might expect.)

4. someones4

Posts: 627; Member since: Sep 16, 2012

you have a point. But google seems more attractive with everything that they offer. just a personal opinion though. didn't used any of yahoo's services besides email. As many observers pointed out, yahoo may have a large range of services/contents but does not provide enough support for those services. Acquisitions were made and then left behind. This is where they differ from google.

3. ZEUS.the.thunder.god unregistered

well yahoo might have some good services and content but again question is how much profitable these services are. as far as Gmail vs Yahoo mail concers, i think Gmail is a far better offering than anything else. like Google has Android + other services like Youtube, apple has ios and idevices, MS has windows but Yahoo lacks an ecosystem. but lets wait and watch.

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