Verizon to buy Yahoo core business for $4.8bn – report

Yahoo’s publishing and advertising business has seen much better days, being viewed as an ailing internet icon by many. Now, the New York Times has reported that US network Verizon is stepping in to acquire the core business for roughly US$4.8-billion.

The publication, citing “people briefed on the matter”, said that Yahoo’s shareholders would retain over US$41-billion in investments. These investments include the company’s Japanese operations, 3000 patents and the Alibaba internet conglomerate.

The sale announcement is expected to take place later today (Monday).

Yahoo CEO Marissa Mayer won’t be retaining the helm, the publication reported, and will most likely receive a severance package worth over US$57-million.

The Wall Street Journal said that Yahoo’s core unit sale is the first big step towards breaking up the company, with a war chest of 3000 patents set for a separate auction too.

The sale represents a far cry from its peak value of over US$125-billion in 2000, before the dot-com bubble popped.

Mayer took over the top job in 2012, and her tenure saw the company make a high-profile purchase of Tumblr for over US$1-billion.