Verizon tells Yahoo to cut price after email hacks

Yahoo shares were up over a per cent yesterday.

"Our outside forensic experts have been investigating the creation of forged cookies that could allow an intruder to access users' accounts without a password".

In a statement to Reuters, Yahoo confirmed it was alerting users who may have been impacted by the malicious code but would not say how many customers it affected. "Yahoo is in the process of notifying all potentially affected account holders".

Another report claims that the discount might be as much as $350 million. One involving 500 million records was reported in August, and another involving 1 billion records was reported in December.

Yahoo! Inc. admitted in a few released announcements past year that hackers had broken into their direct we database. eWEEK has been chronicling Yahoo's story since its founding by David Filo and Jerry Yang in 1994. The price dip follows the disclosure of two security breaches at Yahoo in recent years. There was no new information on this February 15. This strategy also had the risk of Verizon walking away from the whole deal altogether. It was yet another bump in the rocky road for the company, which had failed in yet another turnaround attempt, this time by CEO Marissa Mayer. Mayer can not save the internet company from the big mess.

All things considered, $250 million isn't very much money for either company.

Stockholders are also eager for this deal to close so that Yahoo can focus on extracting value of its stake of 15% in Alibaba and 36% Yahoo Japan stake.

For Yahoo, that's a pretty good outcome.

Well, judging by these reports, it would appear that Yahoo's major data breaches from the second half of 2016 are still showing their aftermath.

After news of the 2014 hack broke in September, onlookers speculated Verizon might try to seek a discount.

According to ZDNET, Yahoo has started sending out emails to its users, warning them of state-sponsored attacks. This is after the revelation of the security breaches at the web company, according to Bloomberg.

However, a lot of analysts said that the telecommunications giant Verizon had a lot of reasons for completing the transaction as soon as possible, mainly because of building up their digital media business. The deal will cover Yahoo's core internet business and some real estate assets.

Verizon is close to announcing a revised takeover deal with Yahoo that will cut the price slightly, sources told CNBC. It isn't known how the company will use the name in the future. The company is very well aware that going to the Court will not be in its favor and that Verizon will have an upper hand before the judiciary. None of those initiatives worked during her 4.5-year tenure. Yahoo will likely be arm-twisted into this one, and will accept its fate for $4.6 Billion.



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