Yahoo said Wednesday its Chief Technology Officer Farzad Nazem is resigning to spend more time with family -- leaving two of the company's top posts unmanned; shares fell almost 2%. Yahoo said co-founder Jerry Yang will head the company's tech team until a new chief is appointed. The resignation fuels concerns Yahoo will be unable to hold on to key talent in its struggle with Google and Microsoft for a bigger piece of the online ad market pie. "It's probably another chapter in Yahoo's brain-drain story," a Piper Jaffray analyst wrote. Nazem was in charge of Yahoo's new advertising program, called Project Panama. Earlier this year, Chief Operating Officer Daniel Rosensweig resigned. Separately, Yahoo launched an advertising platform across Europe that is says will improve search results and bolster ad revenues. Yahoo has begun upgrading major European advertisers to the platform. Yahoo shares fell 1.9% in after-hours trading Wednesday following the announcement.
Sources: 8-K SEC filing, Bloomberg, Wall Street Journal
Commentary: Yahoo CTO Resigns: More Turmoil in the Tech Ranks? • Yahoo CTO Steps Down • Search Market Share Value: Doing the Math
Stocks/ETFs to watch: Yahoo! Inc. (YHOO). Competitors: Google Inc. (GOOG), Microsoft Corp. (MSFT), IAC/InterActiveCorp (IACI)
Conference call transcript: Yahoo! Q1 2007 Earnings Call Transcript
Seeking Alpha's news briefs are combined into a pre-market summary called Wall Street Breakfast. Get Wall Street Breakfast by email -- it's free and takes only seconds to sign up.