The Yahoo that you know is not changing name —Yahoo!
The authorities of Yahoo Inc., the American multinational technology company, has said the media headlines informing the public that Yahoo is changing its name to Altaba Inc, are misleading.
“Those headlines are misleading. They oversimplify Yahoo’s filing. The Yahoo that you know is not changing its name,” writes Daniel Roberts of Yahoo Finance on Tuesday.
Providing a detailed explanation about the deal, Roberts wrote, “In an 8-K regulatory filing on Monday afternoon, Yahoo Inc. disclosed some of its plans for after its $4.8 billion sale to Verizon goes through. Once the sale closes, current CEO Marissa Mayer, chairman of the board Maynard Webb, Yahoo cofounder David Filo, and three other current board members will resign from the board; and the Yahoo board “intends to cause the Company’s name to be changed to Altaba Inc.”
It was the latter point that set the media on fire. Journalists sent snarky tweets about the name, and news outlets, from the Wall Street Journal to Time to the Boston Globe to USA Today, and many, many others, ran headlines that simply said some version of “Yahoo will change its name to Altaba.” Even the Associated Press went with, “Yahoo to change name.”
Those headlines are misleading. They oversimplify Yahoo’s filing. The Yahoo that you know is not changing its name.
The company that will change its name to Altaba is the entity that was formerly being called “RemainCo,” the entity that will remain after Verizon closes its acquisition. That entity will contain a 15% stake in Alibaba, a 35% stake in Yahoo Japan, and a small portfolio of patents called Excalibur. It will arguably amount to a holding company for shares of Alibaba, basically an alternative Alibaba, hence “Altaba.