Terry Semel
Non-Executive Chairman and Advisor
Jerry Yang
Co-Founder and CEO
David Filo
Co-Founder 

Yahoo History

In January 1994, Jerry Yang and David Filo were Electrical Engineering graduate students at Stanford University. In April 1994, "Jerry's Guide to the World Wide Web" was renamed "Yahoo!". Filo and Yang said they selected the name because they liked the word's general definition, which comes from Gulliver's Travels by Jonathan Swift: "rude, unsophisticated, uncouth." Its URL was akebono.stanford.edu/yahoo.

By the end of 1994, Yahoo! had already received one million hits. The Yahoo! domain was created on January 18, 1995. Yang and Filo realized their website had massive business potential, and on March 1, 1995, Yahoo! was incorporated. On April 5, 1995, Michael Moritz of Sequoia Capital provided Yahoo! with two rounds of venture capital, raising approximately $3 million.[12][13] On April 12, 1996, Yahoo! had its initial public offering, raising $33.8 million dollars, by selling 2.6 million shares at $13 each.

"Yahoo" had already been trademarked for barbecue sauce (and knives by EBSCO Industries). Therefore, in order to get the trademark, Yang and Filo added the exclamation mark to the name.

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Growth (1997–1999)

Like many search engines and web directories, Yahoo! diversified into a Web portal. In the late 1990s, Yahoo!, MSN, Lycos, Excite and other Web portals were growing rapidly. Web portal providers rushed to acquire companies to expand their range of services, in the hope of increasing the time a user stays at the portal.

On March 8, 1997, Yahoo! acquired online communications company Four11. Four11's webmail service, Rocketmail, became Yahoo! Mail. Yahoo! also acquired ClassicGames.com and turned it into Yahoo! Games. Yahoo! then acquired direct marketing company Yoyodyne Entertainment, Inc. on October 12. On March 8, 1998, Yahoo! launched Yahoo! Pager, an instant messaging service that was renamed Yahoo! Messenger a year later. On January 28, 1999, Yahoo! acquired web hosting provider GeoCities. Another company Yahoo! acquired was eGroups, which became Yahoo! Groups after the acquisition on June 28, 2000.

When acquiring companies, Yahoo! often changed the relevant terms of service. For example, they claimed intellectual property rights for content on their servers, unlike the companies they acquired. As a result, many of the acquisitions were controversial and unpopular with users of the existing services.
 
Dot-com bubble (2000–2001)

On January 3, 2000, at the height of the Dot-com boom, Yahoo! stocks closed at an all-time high of $118.75 a share. Sixteen days later, shares in Yahoo! Japan became the first stocks in Japanese history to trade at over ¥100,000,000, reaching a price of ¥101.4 million ($962,140 at that time).[16]

On February 7, 2000, the Yahoo! domain was brought to a halt for a few hours as it was the victim of a distributed denial of service attack (DDoS). On the next day, its shares rose about $16, or 4.5 percent as the failure was blamed on hackers rather than on an internal glitch, unlike a fault with eBay earlier that year.

During the dot-com boom, the cable news station CNBC also reported that Yahoo! and eBay were discussing a 50/50 merger. Although the merger never materialized the two companies decided to form a marketing/advertising alliance six years later in 2006.[20]

On June 26, 2000, Yahoo! and Google signed an agreement which retained Google as the default world-wide-web search engine for Yahoo! following a beta trial in 1999.[21]

Post dot-com bubble (2002–2008)

Yahoo! was one of the few surviving large Internet companies after the dot-com bubble burst. Nevertheless, on September 26, 2001, Yahoo! stocks closed at a five-year low of $4.06 (split-adjusted).

Yahoo! formed partnerships with telecommunications and Internet providers to create content-rich broadband services to compete with AOL. On June 3, 2002, SBC and Yahoo! launched a national co-branded dial service. In July 2003, BT Openworld announced an alliance with Yahoo!. On August 23, 2005, Yahoo! and Verizon launched an integrated DSL service.

In late 2002, Yahoo! began to bolster its search services by acquiring other search engines. In December 2002, Yahoo! acquired Inktomi. In February 2005, Yahoo! acquired Konfabulator and rebranded it Yahoo! Widgets, a desktop application and in July 2003, it acquired Overture Services, Inc. and its subsidiaries AltaVista and AlltheWeb. On February 18, 2004, Yahoo! dropped Google-powered results and returned to using its own technology to provide search results.

In 2004, in response to Google's release of Gmail, Yahoo! upgraded the storage of all free Yahoo! Mail accounts from 4 MB to 1 GB, and all Yahoo! Mail Plus accounts to 2 GB. On July 9, 2004, Yahoo! acquired e-mail provider Oddpost to add an Ajax interface to Yahoo! Mail. On October 13, 2005, Yahoo! and Microsoft announced that Yahoo! Messenger and MSN Messenger would become interoperable. In 2007, Yahoo! took out the storage meters, thus allowing users unlimited storage.

Yahoo! continued acquiring companies to expand its range of services, particularly Web 2.0 services. Yahoo! Launchcast became Yahoo! Music on February 9, 2005. On March 20, 2005, Yahoo! purchased photo sharing service Flickr. On March 29, 2005, the company launched its blogging and social networking service Yahoo! 360°. In June 2005, Yahoo! acquired blo.gs, a service based on RSS feed aggregation. Yahoo! then bought online social event calendar Upcoming.org on October 4, 2005. Yahoo! acquired social bookmark site del.icio.us on December 9, 2005 and then playlist sharing community webjay on January 9, 2006.

On August 27, 2007, Yahoo! released a new version of Yahoo! Mail that makes it possible for users to send instant messages to the largest combined instant messaging (IM) community including users of Yahoo! Messenger and Windows Live Messenger, to send free text messages to mobile phones in the U.S., Canada, India and the Philippines.

On January 29, 2008, Yahoo! announced that the company was laying off 1,000 employees as the company had suffered severely in its inability to effectively compete with industry search leader Google. The cuts represent 7 percent of the company's workforce of 14,300. Employees are being invited to apply for an unknown number of new positions that are expected to open as the company expands areas that promise faster growth.

In February, 2008, Yahoo! acquired Cambridge, Massachusetts-based Maven Networks, a supplier of internet video players and video advertising tools, for approx. $160 million.

Revenue

$7.22 billion

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