Date
15 October 2018
Verizon’s plans to purchase Yahoo’s core business have come under uncertainty as Yahoo faces scrutiny over a massive data breach. Photo: Bloomberg
Verizon’s plans to purchase Yahoo’s core business have come under uncertainty as Yahoo faces scrutiny over a massive data breach. Photo: Bloomberg

Verizon executive says company unsure about Yahoo deal

Verizon Communications is unsure about its planned acquisition of Yahoo’s internet business, a senior executive said on Thursday, weeks after Yahoo disclosed a second massive data breach.

“I can’t sit here today and say with confidence one way or another because we still don’t know,” Reuters quoted Marni Walden, president of product innovation and new businesses at Verizon, as saying.

Speaking at an industry conference in Las Vegas, Walden indicated that her firm is having doubts as to whether it should proceed with the US$4.83 billion purchase of Yahoo’s core business.

Walden said the merits of the deal still make sense, but added that there were certain aspects of the Yahoo investigation that are yet to be completed.

Yahoo came under renewed scrutiny by federal investigators and lawmakers last month after disclosing the largest known data breach in history, prompting Verizon to demand better terms for its planned purchase.

Walden did not provide a time-frame for completion of the deal, according to Reuters.

“We think it will take weeks at least, we don’t have a desire to have it drag on forever, that’s not our intent,” she was quoted as saying.

Tim Armstrong, the chief executive of AOL, however told CNBC that he expects the Verizon-Yahoo deal to likely go through.

AOL was acquired by Verizon in 2015 for US$4.4 billion.

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