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Ash Patel is the likely selection to run the new global products group, which will oversee search, email, and many other functions. Some executives are not fond of Patel and have expressed disappointment in the decision.  (Source: Yahoo)

Hillary Schneider will likely also share an equal leadership role with Patel in the new division. She is better liked, but some fear she's too nice for the position.  (Source: Yahoo)
Yahoo executive on reorganization: "This feels crazy."

It’s tough times on the Yahoo boat.  Employees are jumping ship, its purportedly earnest attempts to bring Microsoft back to the table were rebuffed, and a hostile takeover by investor Carl Icahn is looming.  The atmosphere among even the most seasoned of Yahoo veterans is one of uncertainty and doubt.

Losses at Yahoo are mounting as well.  Among the most recent additions to the departure list are Brad Garlinghouse, famous for his "Peanut Butter Manifesto" memo which demanded the company make a radical change of course; Vish Makhijani, general manager of Yahoo's Web search business; and Qi Lu, head engineer of Yahoo's Panama search marketing platform

Yahoo President Sue Decker announced in the Wall Street Journal that she plans to lead a company-wide reorganization of the embattled corporation.  Details on the reorganization are unclear, but it seems that it may require some positions and jobs being sent overseas as Decker states that a primary focus is providing services that appeal internationally and to centralize the accounting for such services.

The new global products group, which she will be creating, is likely going to be led by Executive Vice President Ash Patel.  The site AllThingsD reported that he already got the position.  According to the site, much of the networks division, currently under the departed Jeff Weiner, will be shifted to the new division.  This will include the search, mail, instant messenger, front page, platforms and social networking sections.

The sections, according to the report will be managed out of Yahoo HQ in Sunnyvale, Calif.  This shake-up could help to explain why communities SVP Brad Garlinghouse and Search SVP Vish Makhijani are leaving the company.

Front Door head Tapan Bhat, whose section will also be folded into global products is also considering an exit, stating that he is weighing his options.  According to one insider, some of the executives would rather quit than work with Patel, who is not popular.  The anonymous executive stated, "No one wants to report up through him.  He’s a Yahoo lifer and not the kind of dynamic leader we need."

In a slightly better received move, Global Partner Solutions EVP Hilary Schneider will now extend her oversight over the entire U.S. region.  She will be equal in position to Patel and report only to Decker.  The Yahoo Media Group under Scott Moore, who was formerly under Weiner, will now shift to Schneider.

Moore, a former Microsoft executive, is satisfied with the move, especially since he may be getting some new organizations.  However there are also reports that he is looking for startup capital, a warning sign that he might jump ship as well.  Some fear Schneider is too nice to do the job.  Says one anonymous source, "There is lot on her plate and, while she is good at the business side, she is not a products person."

The shakeups will include a number of other moves, but suffice to say that if early speculation holds true, virtually the entire company will experience shifts in leadership.  Many employees aren't happy about this.  "I am not sure right now, with all this drama and all this tension from Microsoft’s failed takeover and the rest of it, why we have to do this.  This feels crazy," said one executive.

Strangest of all, some say, is that Yahoo CEO Jerry Yang has been nowhere to be seen during the reorganization talks.  Yang, who would likely be ousted in the case of an Icahn takeover, has let Decker almost entirely lead the efforts.  One executive states, "Where’s Jerry here? He is like a ghost.  It is nerve-wracking."

Yahoo's moves clearly strike as a desperate attempt to change course.  Their effects remain to be seen, but one disturbing trouble sign is the large amount of criticism about the moves coming from Yahoo's own leadership.  If this continues, it would not be surprising to see more departures in store in coming weeks.

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deja vu
By WileCoyote on 6/23/2008 10:41:52 AM , Rating: 2
It's high school all over again.

RE: deja vu
By trox5361 on 6/23/2008 10:48:26 AM , Rating: 5
I like this approach to 'reorganization'.

RE: deja vu
By Master Kenobi on 6/23/2008 10:50:54 AM , Rating: 5
I bet Microsoft is sitting back eating popcorn and enjoying some lemonade watching the Yahoo death spiral. If anything, the actions taken by Yang and the Yahoo board to block a purchase seem to have accelerated the plundge into nothingness.

RE: deja vu
By NuroMancer on 6/23/2008 6:57:15 PM , Rating: 2

To think, the actions by Yang might end up as a case in a business textbook one day. How to screw up royally and get to watch your business's demise. Almost like when someone's head gets cut off and their brain stay active for 6 seconds.

RE: deja vu
By paydirt on 6/24/2008 10:49:25 AM , Rating: 2
GOOG benefits more from this than MSFT. I wonder if the whole MSFT offer was to weaken YHOO internally, knowing that Yang would refuse any offer. Yang staying away is a bad sign, he's probably thinking that he messed up big time.

RE: deja vu
By InternetGeek on 6/23/2008 7:02:38 PM , Rating: 2
I'm willing to bet that instead of buying Yahoo MS will just inject capital in all the new startups without asking for some technological leverage. These guys would not let the money down (they're leaving because the merge didn't happen) and in the mid and long term they might just jump into using MS technology. Played wisely MS would just jump into 2.0 by having a whole ecosystem.

By DASQ on 6/23/2008 11:09:55 AM , Rating: 1
I cannot stop staring at her uneven heights of her eyes. I... just... can't ._.

RE: Seriously...
By Suomynona on 6/23/2008 11:39:18 AM , Rating: 2
I think they both qualify for that one... But then they're looking for executives, not models.

RE: Seriously...
By FaceMaster on 6/23/2008 11:43:44 AM , Rating: 3
When choosing their character they neglected the 'looks' category and pumped everything into the 'intelligence' attribute... or maybe the 'luck' one, I forget.

RE: Seriously...
By DASQ on 6/23/2008 11:55:54 AM , Rating: 2
Well, as long as your intelligence doesn't drop below 4 you'll still be able to make decent conversation and be correctly rewarded for your efforts.

RE: Seriously...
By aegisofrime on 6/23/2008 12:19:02 PM , Rating: 3
Nah, everyone knows that CH and LK are the most important stats for real life!

RE: Seriously...
By FaceMaster on 6/23/2008 11:40:23 AM , Rating: 2
Yeah it's a prerequisite for a job in this company.

RE: Seriously...
By Icelight on 6/23/2008 1:13:30 PM , Rating: 4
Tilt your monitor a bit then. Eyes are even. Voila.

By wwwebsurfer on 6/23/08, Rating: 0
RE: ......
By wordsworm on 6/23/2008 10:43:35 PM , Rating: 2
I get a preview of all my email via myyahoo. I subscribe to several journals varying from Scientific American to Google Sketchup 3d Challenge. I also subscribe to their music service, and Yahoo messenger is the only messenger service I use (though I don't use it often anymore).

Yahoo is in a better position than Microsoft in terms of search engines and other Internet services are concerned. At least that's the case for me. You even said yourself that Yahoo is better than MSN with finding unsolicited information.

I'm a fan of Google Sketchup and Google earth, but I don't feel that their email service is better. Google is a good competitor for it though.

MS... what do I use that MS makes: their OS, a keyboard and a mouse. As for an Internet presence, they're severely outclassed by Yahoo. Provided that Yahoo doesn't get mucked up too badly (it's too early to tell either way) by Icahn or any of these shake-ups, MS won't be overtaking them any time soon. As for 'all that crap on their page'... they're the world's #1 website for a good reason. People like all that crap. The only reason someone has for going to Google is to check their email or search for something. They just suck at news. Just to verify that they don't have anything to compete with Yahoo I went to see if they had anything like Yahoo. It just plain sucked.

As for search engines, I use individual search engines more often than I use Google:,,,, IMDb, Naver, isoHunt, YouTube, are better search engines for when I want something specific.

Radically changing Yahoo runs with the risk of ruining the portal - and losing the huge number of people who go there every day for one reason or another. I personally hope that the "Athenian" approach doesn't decide to convert itself to the "Spartan" approach any time soon.

RE: ......
By DanD85 on 6/24/2008 3:19:39 AM , Rating: 2
I will be very happy to see Yahoo collapse. I don't know your experience with yahoo but to me it's all negative experience.

Yahoo messenger is the de-facto messenger here in VN so I have to use it but personally speaking I don't like it, too much ads.

Google mail is head and shoulder above Yahoo mail with it simple, elegant design and speedy response compare with clunky, sluggish, annoying+flashy ads from yahoo.

Their blogging services is totally a$$. Slow, no RSS, ugly interface and worse they are so desperate that they have to kiss commie a$$ just to be alive, they fully co-operate with commie to track every blog that have "sensitive" info. They willing to close others blog because they have some porn? (why don't they have an option to warn people about the content of the blog like google did?) So I had dumped that stupid yahoo360 and sided with blogger now and in my opion is miles and miles ahead of Yahoo in this aspect.

Finally: In 2 words "YAHOO SUCKS"

RE: ......
By wordsworm on 6/24/2008 8:33:29 AM , Rating: 2
Their blogging services is totally a$$.

I never got into blogging. DT is the only blogging service I've ever read. So, I'll have to take your word for it.

I don't know your experience with yahoo but to me it's all negative experience.

You know, 2 years ago I would have agreed with you. Getting their Yahoo thingy installed on the computer was like getting a low level virus. Within hours I had deleted it.

As for kissing commie butt, I think China isn't much of a communist state. I say that from someone who thinks that communism was a great idea tried by ruthless men who didn't apply it to themselves (USSR - leaders lived in lavish conditions rather than having an equal share of the common wealth of the state.) China gets a lot of bad press. When our state 'leaders' (in my case, that would be the *gag* Hon. Stephen Harper) criticize China's track record, I can't help but want to write China's diplomats a letter asking them to remind Stephen Harper of Canada's track record in reference to Native people. Free Tibet? Give their land back? How about giving back to the Native people what really should belong to them before we start harping on other people.

As for Yahoo mail being clunky... it loaded for me in less than one second. Maybe my Internet is faster than yours - I don't know. I've heard Korea is pretty good for that, and I have no complaints.

As far as RSS feeds are concerned, you're mistaken that they don't provide them.

Anyway, how would you compare Yahoo with MSN? would you suggest that MS could improve what Yahoo had to offer? I really doubt it.

Slacker's Holiday
By Suntan on 6/23/2008 1:12:38 PM , Rating: 2
If your a low level slacker, just looking for a paycheck, it looks like a good couple of months to sit and surf the web while everyone above you runs around with their hair on fire.

If your interested in a career, it's not looking so rosy.


RE: Slacker's Holiday
By djc208 on 6/23/2008 3:18:51 PM , Rating: 2
I'm sure there's about a dozen appropriate Dilbert strips around here somewhere.

Question for you guys....
By ice456789 on 6/23/2008 1:50:21 PM , Rating: 2
Didn't I read earlier that many Yahoo employees were given contracts that stated that if their job changed at all or that they quit 'for cause' that they would be due an entire year's salary as severance? If so, such a big shuffling could cause Yahoo to eat it's own poison pill.

Someone tell me where I'm wrong, because I just don't see people in that high of a position making such an absurd move.

RE: Question for you guys....
By Master Kenobi on 6/23/2008 2:47:02 PM , Rating: 2
I think that provision also contained the clause "In the event of a buyout or takeover".

By Ammohunt on 6/23/2008 2:44:02 PM , Rating: 2
They are suffering the common causes of problems for most large corporations....Executives! All the suits are jockeying to see how much percieved power they can obtain. Yahoo is on the downward spiral they coasted too long failing to inovate like many of the other Dot bomb internet companies.

Where’s Jerry ?
By crystal clear on 6/24/2008 9:29:50 AM , Rating: 2
Where’s Jerry here?

If you guys are looking for him ,you can find him in Washington D.C. at the capitol hill.

If you ask whats he doing there ?

Then read here below-

Yahoo CEO Jerry Yang made an obligatory round of Capitol Hill this week, assuring lawmakers there are no antitrust flies on Yahoo's advertising deal with Google. While the arrangement does not require government approval, both Yahoo and Google are working Congress hard to allay concerns about consumer privacy and competition in the Internet advertising industry.

Google and Yahoo announced June 12 they had reached a nonexclusive deal to run Google's search and contextual advertising technology through its AdSense for Search and AdSense for Content advertising programs on the Yahoo search engine. Yahoo expects to generate between $250 million and $450 million in operating cash flow during the first 12 months of the four-year deal.

The arrangement raised the immediate concern of antitrust lawmakers in Congress. U.S. Sen. Herb Kohl, D-Wisc., chairman of the Senate Antitrust Subcommittee, said his panel would be scrutinizing the deal. The House is also planning hearings for later this summer about the deal.

Yang met with Kohl June 18 to discuss the deal. He also met with U.S. Rep. Ed Markey, chairman of the House Subcommittee on Telecommunications and the Internet.

"This is about the Internet.  Everything on the Internet is encrypted. This is not a BlackBerry-only issue. If they can't deal with the Internet, they should shut it off." -- RIM co-CEO Michael Lazaridis

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