Yahoo is shutting down operations in China, removing 200 to 300 jobs in the region from its Beijing office.
The web giant has been unable to win over the Chinese market with its search and media center, unlike China’s neighbor Japan, currently Yahoo’s largest market.
It is not the only shut down Yahoo has completed since Marissa Mayer took charge of the company. Yahoo has been downscaling its offices around the world, focused on making its headquarters in Silicon Valley larger and having less work from home employees.
Yahoo will not close all relations with China, considering its 40 per cent stake in Alibaba is what is keeping the profit margin above board. It will be splitting off the Alibaba stock into a separate holdings company.
The downscaling worldwide has not made much difference on the profit spectrum, mostly due to Mayer’s ‘Google-like acquisition’ rate. Yahoo has acquired over 40 startups since Mayer took charge two years ago, including blogging site Tumblr for £750 million and advertising platform Flurry for £135 million.
Some investors at Yahoo want Mayer to slow down on the acquisitions, but it is clear the new CEO has a vision for the future of the company, and investors are the last thing that will get in the way.