Ex-Yahoos Weigh In on Their Choices for New Yahoo CEO

December 13, 2008 at 2:00 am PT

With so many more ex-Yahoos out there now that the most recent layoffs have taken place, BoomTown put out feelers to a range of them to ask whom they would like to run the company they no longer work for.

After all, who better than to pick a new CEO than an ex?

The response I got was swift and varied wildly, depending on which way the ex-Yahoo felt the company should go, including quite a few who thought Yahoo needed to sell itself off completely.

Some considered Yahoo (YHOO) a media and advertising company, for example, while others thought of it as a more Web tools outfit. Still, others considered it a turnaround situation, requiring a wholly different kind of CEO.

Perhaps therein lies the problem–it is still hard to define precisely what Yahoo is and is not, even for its ex-employees.

In any case, here are some of the best suggestions:

1. The Media Mogul

“I think they need to sell to a media company,” said one ex-Yahoo, who posits the move needs to be drastic enough to truly reset Yahoo.

In this scenario, search gets sold to Microsoft (MSFT) and Yahoo’s online content is combined with media assets of a big entertainment and news conglomerate.

That would make the leader of Yahoo one of the following: Bob Iger of Disney (DIS); Rupert Murdoch/Peter Chernin of News Corp. (NWS); Jeff Zucker of General Electric (GE) unit NBC Universal; or Les Moonves of CBS (CBS). (News Corp. is the owner of this Web site.)

2. The Insider

A lot of votes here for former Yahoo COO Dan Rosensweig and not so many for current President Sue Decker.

Why? Several ex-Yahoos mentioned a need to refocus intently on products and the need for a product-obsessed leader, but one who also knew Yahoo well and could get things moving without needing a lengthy learning curve.

“Since Dan R. left, I think there’s been a definite void (at the senior exec level) on the product/consumer expertise and advocate front,” said another ex-Yahoo.

Other execs mentioned are former Yahoos Jeff Weiner and Jeff Mallett.

But several also pointed to board member John Chapple, who is the one most insiders say they are guessing will be the next CEO, especially since he has been reaching out to Yahoos on many levels and asking questions.

3. The Microsoftie or Googler

The new top name here is obviously recently departed online ad exec Brian McAndrews, former CEO of aQuantive, whom many think would be a strong pick and would focus the company on advertising.

In addition, most of those leaving–including several technical people–all seem to agree that Yahoo needs to get out of the search business, and pronto.

Said one engineer: “I hate to say this, but as good as we can be, we cannot compete in the war that is breaking out between Google and Microsoft. And it will only get uglier.”

Other names mentioned in this category include Yusuf Mehdi and Kevin Johnson of Microsoft, as well as Tim Armstrong of Google (GOOG).

4. The Fixer

While there are a lot of different opinions out there among the ex-Yahoos I spoke to, all agree that the company is in need of a sharp operator and someone who can do what it takes to turn the company around quickly.

That means someone like former Vodafone CEO Arun Sarin, whose name has popped up recently, or even nontechie execs known for operational skills.

“We need a decisive leader, given how slowly it takes for things to change at Yahoo, who has a real sense of urgency from the minute he or she gets the job,” said one ex-employee.

Another former exec described it as a “two-step process.” First, the turnaround CEO needs to come in and reorient, focus, and get the company going in the right direction, then a more product-oriented person can be installed under that CEO later.

5. The Holy Grail-Steve Jobs Option

I think the most interesting idea I got from all the many former Yahoos I spoke to was that Apple (AAPL) CEO Steve Jobs swoop in and buy Yahoo.

When I laughed out loud at this notion at first, the exec insisted that it was a feasible idea, given that Apple was interested in expanding its platform beyond its now-popular devices.

It’s an interesting bit of wishful thinking, of course, to imagine a “great leader” to calmly guide the company back to its roots.

Jobs, in fact, memorably addressed a meeting of Yahoo VPs in the fall of 2007. As I wrote then: “Jobs basic message [to Yahoo]: You have great assets–just like Apple did–and now it is all about execution.”

Yes, that tiny little detail.

6. Raise the Yangtanic

Interestingly, pretty much all the ex-Yahoos I talked to–as angry as some are at him for his tenure as a CEO less successful at execution and the ensuing loss of market value at Yahoo–said they did feel there was a need for Co-Founder Jerry Yang to stay around in a significant way.

“Jerry has been a really bad CEO,” said one former employee. “But he could still be an important leader at Yahoo and give the company the kind of inspiration it so desperately needs.”

Not everyone is on board with that.

“I completely disagree that Jerry should stay around. Jerry is one of the main issues at Yahoo and he and [David] Filo must go, as well as most of the board,” said one former Yahoo. “There needs to be free rein for the new CEO to make changes and that won’t be possible if Jerry is still there. Jerry is a nice guy and his heart is in the right place but he has failed as both board leader and CEO and the company needs to start fresh if it is to have a chance.”

Adds the ex-Yahoo: “Steve Jobs would be great, but I think he is busy.”

Tagged with: advertising, Apple, aQuantive, Arun Sarin, board, Bob Iger, BoomTown, Brian McAndrews, CBS, CEO, Dan Rosensweig, David Filo, digital, Disney, employee, General Electric, Google, Internet, Jeff Mallett, Jeff Weiner, Jeff Zucker, Jerry Yang, John Chapple, Kara Swisher, Kevin Johnson, layoff, Les Moonves, Microsoft, NBC Universal, News Corp., Peter Chernin, Rupert Murdoch, search, Steve Jobs, Sue Decker, Tim Armstrong, Vodafone, Yahoo, Yusuf Mehdi

comments so far. Add yours.

http://allthingsd.com/ joe belkin

Hate to break it to Yahooligans but Apple doesn’t need Yahoo … yes, Yahoo has great assets but that’s like saying Paramount has great assets but as a fit into Apple – pointless. Apple already has a portal called iTunes – why would you try and scatter your audience? THe rest of the stuff Apple can already recreate in a few days – TV Guide? Yahoo Answers? Other than the brand name of FLIKR, that technology anyone can recreate … MS wants to buy yahoo to essentially shut it down as a competitor … that’s its own real value right now – but for others that you mentioned, there are possibilities but Apple? No. Because 95% of Yahoo’s technology, Apple has or can replicate easily. Other than a few brand names like FLIKR – Yahoo has virtually no value to Apple since it’s not an Apple brand and offering free photo hosting is not really in Apple’s interest anyway …
John Tillman

I think it is ridiculous to suggest that selling the search business is a good idea. Why would you want to sell something that makes you money? Unlike Microsoft which is burning cash in its online endeavors; Yahoo still makes significant money in search business. Getting out of the search business will only make it more irrelevant for advertisers. Display market is expected to slow significantly and without the leverage from Search it would be a disaster in waiting.
http://blog.macb.net Mac Beach

As I’ve often predicted, Yahoo and others (AOL, Facebook and Microsoft predominantly) are developing hernias trying to keep up with Google.

AOL is discontinuing XDrive (a free 5 Gig storage area) and as I had created an account there for testing I decided to now test the process for offloading your data. It doesn’t work. At all. Further investigation showed that there are forums filled with pleas for help from users of this “product” going back more than a year. OK, little known product anyway, who cares eh?

So, while I was at it, I decided to check on my 5 gig (now 25) area on Microsoft live. While they haven’t outright lost my data, the tools for unloading or even checking on it only work intermittently, time-outs, data errors, files said to have been downloaded (as JPEGs in my case) only to find the files are actually snippets of HTML (great security!). I was able to request that entire folders be downloaded as zip files, and this worked.

Finally, long ago I had “deposited” some photo laden e-mail messages to my Yahoo e-mail address just to try out the “unlimited” capacity of their latest effort. Not surprisingly (at this point) the oldest of these messages were “unreachable” leading me to wonder if Yahoo hasn’t broadcast them out into the interstellar depths for safekeeping.

All of these products are offered as free (with some restrictions) or as paid services with the restrictions at least partially lifted (I’ve read that Yahoo’s POP service doesn’t even work well if you pay for it; paying XDrive users were treated no better than the free accounts from what I could see).

So my point is that many of these new web services have turned out to be as much houses of cards as have some of Wall Street’s accounting practices.

As in that case, I’m against a bail-out. For providing services that bear little resemblance to the hype, companies should expect only one outcome, and Yahoo is the first of many to realize this outcome.

If they survive, I would definitely prescribe that they attempt no further heavy lifting.
william olic

To the Yahooligan in your article who stated, “there’s been a definite void since Dan Rosenweig left” – you are a complete fool.
What did he do for the company all the year he was there, but take huge stock option gains on a nearly weekly basis, in millions upon millions of dollars.

These Yahoo ex-employees/groupies are a pathetic bunch to suggest having more of the same “good old boys club” that has done NOTHING, I repeat, NOTHING, for ths company other than to use it to their advantage and run it into the ground with their lack of competence or concern.

To suggest Sue Decker is probably the most laughable, yet dangerous, suggestion. She should have been booted out on her fanny long ago.

But it’s the Yang-Filo-Decker fan club, aka a bunch of fools.

This company lost me 2/3 thirds of my investment through their incompetence, boundless arrogance, and complete disregard for the shareholders.

What has Icahn done? How similar to Motorola Yahoo’s share price appears now. He is probably just a pawn in Yang’s pocket. Possibly some under the table deals to compensate Carl for his investment losses in Yahoo?

I’ve never seen a more poisonous company. What a constipated bunch of arrogant miscreants.

Ballmer has probably thanked his lucky stars that he never wasted those billions on this company, though, for my and other shareholders sakes, I wish he had.
Sam Harrison

yahoo has a great asset and it’s going to take a fresh name/face to take it into profitable ventures

the list of tired execs you have mentioned are not going to do yahoo any good, they are the same old boring corporate execs that got yahoo into this mess in the first place

jerry should acquire facebook and let zuckerberg try the ceo role out
Sam Harrison

the obvious choice is kara swisher, she is an expert on yahoo after playing it like a soap opera these past few months.
http://www.docmurdock.com Michael Murdock

There are many people who could run Yahoo. The entire management structure would have to be redone. The problem is finding someone who will come in and do it for a reasonable price. And finding someone who wants the job, has the passion, and no ego to burst in the process. Oh! and most importantly who will leave their golden parachute at the door!

CEOs don’t need to be pain 10 or 20 million to come in and tank a company. Look at GM, FORD and Chrysler as examples of what NOT to pay a CEO.

If they won’t do the job for $1.5 million* (yes that’s NOT a typo), then call me. Because I will, and I’ll increase the value of the company so substantially that it will be worth more than double what it is now within a year.

Too bad nobody at Yahoo has the balls to make that offer. My pen is ready, so is my plan and so are my team.

* the $1.5 Million is My compensation. My team will be allocated resources during the process and paid from salaries at the company that are reduced to be more shall we say egalatarian in nature, starting with those of every SVP in the company.

The failure of a company is not just the fault of the CEO, The Management Team and the Board, it’s also distributed down the ranks.

And if they do make the offer prior to the expiration of the opportunity at Midnight (AZ TIME) of 12/31/2008, be prepared for a major layoff, restructuring of the entire business and an accelerated schedule toward immediate profits and repositioning in the marketplace.

Kara, when you’re ready to talk seriously about this, I am ready to answer all of your questions about it. This is not a joking matter to me. It’s sad that it appears to be, to members of the media.

Michael Murdock, CEO
http://www.docmurdock.com/yahoo.htm
http://kara.allthingsd.com Kara Swisher

S:

Very funny. But it is a telenovela, not a soap opera.
http://kara.allthingsd.com Kara Swisher

S:

I did not draw up the list. These were what ex-Yahoos offered when I asked.
http://www.docmurdock.com Michael Murdock

Nope. It’s now a full fledged soap opera. I hear that Sarin said “NO”. At least that’s what everyone else out there is reporting.

http://is.gd/bTr1 and see for yourself.

WOW. Now, if they could just get that “it’s now $2 Million” together on paper in contract form and FED-EX it to me, we can be working on things at Christmas time when I am in California.

Pass it on!

Mike
http://www.garibim.net erdem ela

It was delightful to see Bill and Steve sharing a stage and reminiscing about their stuff, but I was surprised that Bill (gadgets) and Steve (widgets) didn’t settle the debate about the original inventor of the widget.

One can never have too many widgets. Somebody codes something you never even dreamed of wanting – suddenly everybody

lig tv izle
bedava ligtv izle
garibim
deyimler
?iir türleri çet chat sohbet needs a whole bunch of widgets because they don’t impinge too much on the screen/template real estate.

Ex-Yahoos Weigh In on Their Choices for New Yahoo CEO

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