So the troubles for Yahoo continue as they announced today that they were ordering their US employees to stop work the last week of the year and not report to work. These efforts were due to the company’s attempt to reduce operating costs as they experience a downturn in online advertising revenue. Just another blow at one of the Internet’s most popular destination sites and it’s drive to overcome all the emerging competitors.
You can read the article here: San Jose Business Journal
The Motley Fool published an article in response to this news and states that this news was conveyed to Yahoo’s 10,000 employees by e-mail and is authenticated by a company spokesperson. What adds an interesting twist to this latest report out of the search engine giant is that the so-called Yahooligan’s will need to use a week’s worth of vacation just to get paid.
With online advertising revenue decreasing at Yahoo, will this create a ripple effect and have the same result with Google? Most likely not to the same degree as Google’s financial situation should allow it some leeway, plus it seems to be more stable. Regardless, both search engines will have some kind of impact through its online advertising programs as a new report emerged in the October 2, 2006 Business Week magazine about online advertising fraud and how the two search engine powerhouses are right in the center of it.