Yahoo gets it from two sides

I’ve been using services from Yahoo for a long time. Except for the non-existent customer service, I’ve been more or less satisfied. The email service went through some hiccups for a while but I’ve seen complaints about other Web-based email as well. In fact, I used to regard Yahoo as the top portal. But that position is slipping and there is a sense that not much new is going on at the company. The stock market doesn’t like the company and there was a recent shakeup in the top management. According to MarketWatch, Microsoft is attacking Yahoo from one side and Google is beating them up on another. The result is that Yahoo’s all-important ad revenue is looking anemic. MarketWatch says:

Yahoo’s numbers indicate that it’s missing out on the online-ad gold rush. This bodes ill for the company’s growth prospects, because the trend will offset gains made in the key revenue-per-search metric Yahoo hopes to generate from its new ad-search technology.

Periodically, speculation surfaces that Microsoft will buy Yahoo. Perhaps Microsoft might like that but I would imagine that there would be legal and anti-trust complications.

Update: Here’s some more discussion about Yahoo’s problems.

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