Yahoo losing money?

MHJ · #1 (**permalink**) 10-23-2008, 12:21 AM

My understanding is that yahoo has lost 60% of its profits this quarter. Can anyone tell me why that is the case?

DianaR · #2 (**permalink**) 10-27-2008, 07:34 AM

Well Yahoo isn't immune to economic times, but they also had to get through some pretty hairy lawsuits a few years back, which probably damaged its reputation with some people.

A lot of their traffic came out of their chatrooms. After the law suits, and the labeling of the adult rooms as "online prostitution", they changed their chatrooms so much that most people who had been using them, looked for...or created...other places to gather.

A lot of their market share just left!