IT company giant Yahoo is putting their Santa Clara headquarters on sale.
The land rests at 48.6 acres and is in development until Yahoo decides to seek out potential buyers according to San Francisco Business Times.
The article mentioned that Yahoo was not able to find a buyer as of now because they are not broadcasting the sale. This may be because of the slowly fall down of the company in terms of struggling with their business.
Yahoo has been dealing will low ad sales and lack of management. Former Yahoo CEO Marissa Meyer publicly resigned the company back in October 2015. As reported by Business Insider, Meyer struggled to grow Yahoo’s revenue and make hit products that they can sell. Other executives also left, like Jackie Reses from Human Resources and M&A, and Kathy Savitt from Marketing. Both employees were handpicked by Meyer.
Another struggle that they are facing is the plan of acquiring Chinese e-commerce giant Alibaba. According to Reuters, Alibaba felt that Yahoo’s core business is not attractive for them to join the business. The board of directors of Yahoo is also considering to pause the business venture. Yahoo planned that the “spinoff” should end by December but Alibaba said that the transaction is expected to close by January.
Selling their land development can help Yahoo to raise profit, but it’s not enough even though the company downsized its employee numbers back in their main headquarters in Sunnyvale.
Yahoo bought the land as a form of expansion when the company’s sales were booming back in 2006, but the production didn’t pursue because of the struggles that they faced.
After downsizing, the company didn’t build anything. Their revenue dropped massively from $7.21 billion back in 2008 to $4.6 billion in 2014.
To add revenue, Yahoo made a deal with the San Francisco 49ers to use the land as a parking lot for the nearby Levi’s Stadium.