Verizon Just Sold AOL and Yahoo for $5 Billion, and the New Company Will Be Known as 'Yahoo' Going Forward Just shy of five years since buying them, Verizon is selling AOL and Yahoo for $5 billion.

By Ben Gilbert

This story originally appeared on Business Insider

After just over five years of ownership, Verizon has sold its ownership stake in Yahoo and AOL for $5 billion, the telecom giant announced on Monday morning.

The new company formed by AOL and Yahoo will be known solely as Yahoo, and the new owner is private equity firm Apollo Global Management.

Related: Yahoo Answers Announces Final Closure, and Users Relive It With Questions, Answers and Memes

Marquee media groups being purchased in the deal include Engadget, TechCrunch, and Yahoo Finance. Other notable products in the sale include AOL's dial-up internet customer base, Yahoo Mail, and the Yahoo portal homepage.

"We are big believers in the growth prospects of Yahoo," Apollo senior partner and co-head of private equity David Sambur said in an announcement.

Verizon originally purchased AOL back in May 2015 for $4.4 billion, and Yahoo in July 2016 for $4.83 billion — making the sale of both companies for $5 billion about a 50% overall loss. The two companies were temporarily known as "Oath," an umbrella unit within Verizon that included AOL and Yahoo. It was later rebranded as Verizon Media Group.

Verizon separately sold the Huffington Post in late 2020, which it acquired in its purchase of AOL, to Buzzfeed.

The telecoms giant has struggled to turn a profit with AOL and Yahoo, and was forced to write down nearly $5 billion in Oath-related losses in 2018. With the sale, Verizon is officially exiting the media business, though it maintains minority stakes in a variety of media organizations — including a 10% stake in the new version of Yahoo.

Apollo and Verizon expect the deal to close in the second half of this year.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Business News

A Defense Startup With Billions in Contracts Launched a Recruiting Campaign Warning People Not to Work There

Anduril Industries is going viral for its "don't work at Anduril" recruiting campaign.

Business Ideas

70 Small Business Ideas to Start in 2025

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2025.

Business News

AI Agents Can Help Businesses Be '10 Times More Productive,' According to a Nvidia VP. Here's What They Are and How Much They Cost.

In a new interview with Entrepreneur, Nvidia's Vice President of AI Software, Kari Briski, explains how AI agents will "transform" the way we work — and sooner than you think.

Business News

'We're Not Effective': Starbucks CEO Tells Corporate Employees to 'Own Whether or Not This Place Grows'

After layoffs, Starbucks CEO Brian Niccol said in an internal meeting that the company's operations had to change.

Business News

Meta Reportedly Keeps Lists of Ex-Employees It Won't Rehire — Including Top Performers

Two former Meta managers said they could add former employees to the lists, even those without documented performance problems.