Yahoo! Inc. (NASDAQ:YHOO) isn’t exactly a flourishing business as of now, and therefore whatever advice the company’s CEO, Marissa Mayer can take from its investors that could potentially shake things up, hopefully in the right direction, she has to take it. Starboard advised Mayer to cut costs by as much as $500 million last year. In an article on The Wall Street Journal Douglas Macmillan informed that the tech company has taken this cost cutting war to China as it plans to layoff 200 to 300 employees and close off its Beijing research center.
Since October, Yahoo! Inc. (NASDAQ:YHOO) has laid off some 700 to 900 workers most of which have been outside U.S. However, the head office in California hasn’t been spared entirely as well. Macmillan quoted the company as saying, “we will be consolidating certain functions into fewer offices, including our headquarters in Sunnyvale, California.” Yahoo”s total staff stands at around 12,500 which makes the current Beijing layoffs represent 2% of the company’s workforce.
In 2013 Yahoo! Inc. (NASDAQ:YHOO) had already stopped offering its services in China. At that time, it told the users of its email service to shift to Alimail, Alibaba Group Holding Ltd (NYSE:BABA)’s email service. Yahoo owns about 384 million shares in the Chinese e-commerce giant. Investors had been piling up in Yahoo hoping for a tax free spinoff, which the company announced in late January this year.
Yahoo! Inc. (NASDAQ:YHOO) hasn’t exactly had an amiable relationship with either Chinese or their government. Mayer’s company has had to settle a lawsuit with families of two Chinese dissidents in 2007, when information provided by Yahoo led to their arrest.
Marissa has also been censured by critics for making meaningless acquisitions, that Yahoo! Inc. (NASDAQ:YHOO) ended up paying for much more than what it should have. The latest of these being the purchase of BrighRoll, an online advertisig platform that the company paid $640 million for. These acquisitions havent been able to turn around the company, which although is up by about 15% over the last year on back of Alibaba’s IPO, it is still down by about 12% year to date.
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When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.
Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.
At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.
Do the math. According to Musk, this technology could be worth $250 trillion by 2040.
Put another way, that’s roughly equal to:
175 Teslas
107 Amazons
140 Metas
84 Googles
65 Microsofts
And 55 Nvidias
And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.
It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.
Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.
How could anything be worth that much?
The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.
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What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.
In fact, Verge argues this company’s supercheap AI technology should concern rivals.
Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.
Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.
When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.
Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…
But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.
And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…
This prediction might not be bold at all:
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