Last November we all knew Yahoo cofounder Jerry Yang would be stepping down after a disastrous tenure as CEO. He spurned Microsoft without realizing the consequences, and he had no ability to describe an alternate path for the company. We weren’t alone in calling for his dismissal, and the hope was that Yahoo would find the right leader to restore their former glory. They didn’t.
In the few months between Jerry’s resignation and the beginning of the Carol Bartz era at Yahoo, there was much speculation in Silicon Valley about who might lead the once great company. People I spoke with thought Yahoo would go one of two ways. The first would be to try to find the great product visionary to lead the company forward. Their Bill Gates or Steve Jobs (Mark Zuckerberg may someday be on that list). With the right product vision Yahoo could push boldly into new territory and renew its bid to create a lasting brand and company. The second way to go would be to hire someone to sell the company, whole or in parts, and maximize shareholder value in the short run.
It’s pretty clear Yahoo went with door number 2 and chose someone who could negotiate a deal over the next great product visionary of our time. You can’t really blame them – true visionaries are by definition rare. And it’s unlikely they’d want to go to swim upstream at Yahoo during the hard rebuilding years.
So in came Bartz, and the deals started happening. We’ve mostly kept quiet. Any new CEO deserves a honeymoon phase, and Bartz barked at journalists to keep their opinions to themselves on her first day at Yahoo: “It’s been too crazy. People outside Yahoo deciding what Yahoo should do, shouldn’t do. That’s got to stop.”