Verizon combines Yahoo and AOL to form a new division called Oath (UPDATE)

Verizon combines Yahoo and AOL to form a new division called Oath (UPDATE)
When Verizon closes on its $4.8 billion purchase of Yahoo some time this quarter, the nation's largest carrier plans on combining Yahoo with its AOL business to form a new division called Oath. AOL CEO Tim Armstrong disseminated a tweet on Monday in which he wrote all about the financial strength of Oath. According to Armstrong, the combined company will have 20 brands serving one billion consumers. Armstrong characterized Oath as being unstoppable, and hinted that the company would debut in the Summer.

Armstrong is expected to be given the task of running Oath, and is said to be in the middle of talks with Yahoo executives to determine who will stay, and who will be asked to leave. While it isn't clear if the Yahoo name is going to live on, the company's internet assets will be run by Verizon's AOL division. An AOL spokeswoman said, "In the summer of 2017, you can bet we will be launching one of the most disruptive brand companies in digital." Oath will be soon be the subject of an expensive and wide ranging ad campaign introducing the new brand.

UPDATE: According to Yahoo Finance (and who would be in a better position to know?), the Yahoo name is not going away and Yahoo will be one of the brands under the Oath umbrella.

Verizon purchased AOL in May 2015 for $4.4 billion, picking up some prime internet properties like Engadget, TechCrunch and The Huffington Post. Verizon made the AOL transaction to increase its presence in mobile content and mobile advertising, and the Yahoo purchase builds on that even more.

The parts of Yahoo that Verizon did not buy include a 15% stake in Chinese retail titan Alibaba, a portion of Yahoo Japan and a joint venture with SoftBank. These properties together will form a new company called Altaba. Yahoo CEO Marissa Mayer will not be joining Altaba or Oath, and thus it appears that her time with Yahoo has expired. Her reign as CEO ended with  Yahoo getting hacked twice, negatively affecting one billion Yahoo subscribers.

AOL and Yahoo are combining to become Oath

AOL and Yahoo are combining to become Oath


source: BusinessInsider, YahooFinance

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19 Comments

1. zeppo

Posts: 200; Member since: Jul 21, 2015

Oath meal

16. TheVarnimal

Posts: 45; Member since: Oct 22, 2015

Mike Tyson is on PhoneArena!

2. kiko007

Posts: 7469; Member since: Feb 17, 2016

So many bad decision making companies under one umbrella...

9. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

Just because they mad bad decisions, doesn't mean its a bad brand. Every brand makes bad decisions.

14. tedkord

Posts: 17094; Member since: Jun 17, 2009

When you add two small piles of garbage to in big pile of garbage, what do you wind up with?

18. kiko007

Posts: 7469; Member since: Feb 17, 2016

"When you add two small piles of garbage to in big pile of garbage, what do you wind up with?" ...A Kardashian?

17. TheVarnimal

Posts: 45; Member since: Oct 22, 2015

Verizon is the largest carrier in the United States and AOL isn't as successful as it was, but like say BlackBerry, it's adjusted to the times and owns sites like The Huffington Post, Engadget, and TechCrunch. It owns a bunch of services and has ad revenue too. Yahoo unfortunately never adapted to change, but it still has a valuable user base.

3. phonehome

Posts: 812; Member since: Dec 19, 2014

Have been using the same AOL email address since 1999. I take an Oath to go to a non-Verizon company if forced to change it.

4. Cat97

Posts: 1727; Member since: Mar 02, 2017

Better calling it "the loosers division" :)

11. llk171

Posts: 95; Member since: Mar 31, 2013

So true. Once almost took a job there and at the interview I realized, yeah this company is not for me.

5. jeroome86

Posts: 2314; Member since: Apr 12, 2012

Missed yahoo answers but like I said. Never again Verizon.

12. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

Yes I miss Yahoo Answers too. I answered tons of questions on it for several years when I had time. It was a very nice COmmunity.

6. hwb01

Posts: 355; Member since: Apr 17, 2014

We miss the 90s division

7. SleeperOne

Posts: 370; Member since: Feb 25, 2017

Another conglomerate to integrate outrage culture into tech.

8. Moose

Posts: 418; Member since: Jan 05, 2015

What a dumb name, comes across as static/boring, not energetic or inspiring, also too generic. Yahoo is at least a unique, interesting name.

10. Soundjudgment

Posts: 370; Member since: Oct 10, 2016

"Oaf!"

13. Bfrenz

Posts: 285; Member since: Aug 26, 2012

In tamil language, oath means f*****ng.

15. Tipus

Posts: 785; Member since: Sep 30, 2016

Crappiest tech trio on earth

19. Zylam

Posts: 1802; Member since: Oct 20, 2010

Gonna miss Marissa Mayer, she seemed like a genuine leader. I bet the Verizon brass treated her bad because she's a women and she decided to leave. Don't expect much from the likes of Verizon. Noone cares about AOL or Oath.

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