AllThingsD » Scandinavia

For Data Center, Google Goes for the Cold

Sven Grunberg and Niclas Rolander — Mon, 12 Sep 2011 07:00:10 +0000

Google Inc.’s opening of a €200 million ($273 million) server hall in Hamina, Finland, over the weekend is boosting Scandinavian hopes that other big Internet companies will choose to build data centers in the region, attracted by its cold climate and low electricity prices.

Along with other Internet giants, Google has spent large amounts on building server capacity, to allow users remote access to stored files and programs through so-called cloud computing. In the past two years, it has converted an old paper mill close to the small town of Hamina, on the Baltic Sea coast of Finland, into a massive data center.

The mill was built to produce paper for magazines and newspapers, but the paper industry has seen demand for its products decrease as competition from online media has left many newspapers struggling. Paper manufacturer Stora Enso Oyj closed production at the mill in 2008, and Google saw the opportunity to fill the structure with the technology that contributed to the demise of papermaking in Hamina. A main attraction for the U.S.-based company was the cool Finnish climate.

Read the rest of this pst on the original site »

European Head Toby Coppel Departs Yahoo

Kara Swisher — Thu, 27 Nov 2008 16:01:38 +0000

Yahoo is losing yet another top executive–Toby Coppel, its EVP and managing director of Europe and Canada, is set to announce today that he is stepping down.

The departure, which has been in the works for months, is not related to the recent news that Yahoo CEO Jerry Yang is also relinquishing his job as soon as the company completes its search for another CEO.

Coppel’s job covers the major Western European markets (United Kingdom, France, Germany, Italy, Spain, Scandinavia), as well as Canada, for Yahoo (YHOO).

His successor will be Rich Riley, who is currently SVP of Europe’s Advertiser & Publisher Group, which put him in charge of all revenues for the division. Riley, who came to Yahoo a decade ago, was previously the head of Yahoo’s Small & Medium Business Group in the U.S.

Coppel, who came to Yahoo with former Yahoo CEO Terry Semel in 2001, has run European operations for Yahoo for 18 months. And most of his time has been spent restructuring and making massive cuts.

The unit will have about one-third of the people as when Coppel arrived by the first quarter, after the current round of layoffs. And, if you include Yahoo’s sale of the comparison-shopping site Kelkoo last week, the cuts total 45 percent of its former size.

Coppel also shepherded the move of Yahoo’s European HQ to Switzerland from higher-priced London. Most of its top managers are now located there, although London remains an important Yahoo outpost, since it is the largest online ad market in Europe.

Coppel will remain with Yahoo until the end of the first quarter to ensure a smooth transition. He told BoomTown in an interview that his future plans are undetermined, except to welcome his third child into the world very soon.

“I have been transitioning our European business, restructuring it and making it stronger, as Yahoo is moving to product development on a global platform,” said Coppel. “While there is more work, there is now a strong team in place, focused on going forward and it needs to spread its wings.”

Coppel noted, although a lot of his tenure was occupied by restructuring the European unit, that “we have taken display advertising market share from MSN, AOL and other competitors in almost every one of our European markets in 2008 and we grew our Canadian business over 50 percent this year.”

And, indeed, Yahoo’s online display advertising business is stronger in Europe, although subject to the same vicious economic downturn that has hit the U.S. market.

In addition, Yahoo–and everyone else–lags well behind Google (GOOG) in the more lucrative search business in Europe, even more so than in the U.S., forcing competitors like Yahoo to streamline to compete.

That has meant layoffs, but also re-architecting Yahoo’s product development toward a global model to cut costs and also getting rid of some noncore assets like Kelkoo.

It was revealed last week that Kelkoo was sold to a U.K.-based private equity firm called Jamplant, at a reported discount from what Yahoo paid for it–$576 million–in 2004.

Now that all these kinds of major changes were made, Coppel said, it seemed a good time for him to go too.

“My value add-was not what it was going forward,” said Coppel, who noted that several layers of management in Europe had been collapsed in his tenure. “If we are streamlining and we mean it, it has to also start at the top.”

The Entire Internal Yahoo Memo on European Head Toby Coppel's Departure

Kara Swisher — Thu, 27 Nov 2008 16:00:57 +0000

Here’s the internal Yahoo memo from President Sue Decker about the stepping down of Yahoo European head Toby Coppel, which BoomTown wrote about here.

Coppel’s job covers the major Western European markets (United Kingdom, France, Germany, Italy, Spain, Scandinavia), as well as Canada, for Yahoo (YHOO).

His successor will be Rich Riley, who is currently SVP of Europe’s Advertiser & Publisher Group.

Here’s the memo:

From: Sue Decker
To: XXXX
Sent: Thu Nov 27 09:02:28 2008
Subject: Yahoo! Europe & Canada update

Yahoos,

I want to update you on our Get Fit initiatives in Europe and Canada and to announce a leadership change for Yahoo! Europe and Canada.

Over the past 18 months, under Toby’s leadership, the Agenda2010 strategy has resulted in greater discipline, focus and stronger operating performance in Europe and Canada. There have been a number of important accomplishments and milestones in this time specifically:

Market share gains in our display business in all markets over the past 12 months

Growth in the Canadian display business of over 50% in 2008

Shift towards a global development approach for Front Page, Search and Mail

Elimination or divestiture of underperforming or non-core businesses such as Kelkoo which was sold last week

Increased efficiency and higher margins, including reductions in headcount, travel & entertainment and marketing costs

Establishment of new Switzerland HQ for greater business efficiency

Higher performing sales organization including a Superstar Inside Sales Team

Reduction in the number of layers and increase in spans of control

Now that much of this foundation has been built, Toby and I agree it’s a logical time to transition to a more focused management team in Europe. Today I am announcing that Toby will be stepping down as MD Yahoo! Europe & Canada.

I am very pleased to tell you that effective immediately, Rich Riley will assume the position of SVP, Yahoo! Europe & Canada. Toby will work closely with Rich to ensure a smooth transition and will remain with Yahoo! until the end of Q1 2009.

Rich has been with Yahoo! for almost ten years, during which he has held a wide range of roles and ever increasing responsibilities. He joined Yahoo! when we acquired the startup he co-founded which ultimately invented the Yahoo! Toolbar. From there he played important roles in corporate and business development, building and leading our U.S. small and medium business division and most recently leading our Advertiser & Publisher Group in Europe. He has worked closely with Toby and the European and U.S. leadership teams to shape the strategy and has delivered powerful results to our European business. I’m confident that Rich will be a strong and successful leader for Yahoo! Europe and Canada.

Under Rich’s leadership, Europe will continue on the path it has been on for the last year. This transition is a continuation of the Agenda2010 work that is underway.

Please join me in welcoming Rich to this new role and thanking Toby for his leadership, passion and tireless contributions to Yahoo! over the past 7 years.

Sue