) chief executive, Marissa Mayer, recently announced the launch
of a number of advertising products and a mobile app acquisition
at the International Consumer Electronics Show (CES) 2014.
Yahoo is focusing more on applications for smartphones and
tablets as nowadays people spend more time on these devices. The
company announced a new app named
Yahoo News Digest
) iPhone and iPod touch devices. The app was built using insights
from Summly, acquired last year for $1.1 billion. This app
delivers the most important news twice a day on the user's mobile
The company also focused on a digital magazine called
, readable on mobile devices and PCs. It will feature reviews and
opinions from David Pogue, the former technology columnist for
The New York Times, as well as stories from other technology
Additionally, it announced a new version of its connected TV
Yahoo Smart TV
, to provide personalized recommendations from live TV to online
streaming to its customers.
The company also introduced several new ad products under a
unified brand called
, aimed to help advertisers, publishers and partners get more
return from their online advertising campaigns.
With these product introductions and strong focus on quality
content, Yahoo is well positioned to cater to advertisers who
need quality and a more focused audience.
In addition, Yahoo acquired a startup named Aviate for an
Aviate is an Android app that automatically organizes the
mobile home screen based on the time of the day or location. The
technology takes the help of various signals such as GPS, Wi-Fi,
accelerometer and others to personalize the home screen with
relevant apps and information.
Though Aviate is still in private beta, Yahoo would open it to
the first 25,000 people who sign up for it with the required
code. According to Mayer, Aviate would be used within Yahoo apps
to suggest content for people to engage with.
With this acquisition, Yahoo seems to continue with its
strategy of refocusing its offerings on its mobile business and
creating personalized mobile software. In keeping with the
strategy, Yahoo has acquired 31 startups since Mayer took over
the reins of the company in Jul 2012.
Yahoo remains focused on inventing new products and
maintaining its competitive advantage worldwide. The rise in
demand for such innovative personalized mobile services is likely
to augment its overall revenues.
However, Yahoo continues to face tough competition from
(MSFT). Facebook has become extremely popular with users, so much
so that it is already the most popular social networking
platform. According to a research firm E-Marketer, Yahoo lost its
spot as the second-largest digital advertising seller, after
Google, to Facebook for the first time in 2013.
Also, the inability to protect user information could damage
its reputation and affect credibility, thus slowing financial
growth and pulling down stock prices.
Yahoo currently has a Zacks Rank #4 (Sell).
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