Source: Xinhuanet

01-14-2009 15:56

BEIJING, Jan. 14 (Xinhuanet) -- The appointment of Carol Bartz as Yahoo Inc.'s next chief executive sparked concern Wednesday because of her lack of Internet experience, but some prominent Silicon Valley observers said Bartz is just the type of strong leader the struggling Internet giant needs.

Bartz, the former chief executive of software maker Autodesk Inc. (ADSK), will immediately face several key decisions, including whether to turn around a cohesive Yahoo or sell parts of the company in order to focus on its popular Web properties. Her challenge is to revive Yahoo's listless performance and sagging stock price amid an economic recession.

Bartz indicated on a call with analysts late Tuesday that her focus would be on turning the company around.

Yahoo on Tuesday named Bartz to replace Yahoo co-founder Jerry Yang, whose resignation was seen as a catalyst for much-needed change at the struggling Internet giant.

Yahoo shares, down 60 percent from its year high, slipped 12 cents Tuesday to 12.10 dollars, but rose to 12.40 after hours following confirmation of Bartz's appointment.

Yang had been widely criticized for failing to drive radical changes at the company and rejecting an offer from Microsoft Corp. that was worth almost three times the current value of Yahoo stock.

Bartz's critics, however, complain that she lacks experience in online advertising and the consumer Internet will hamper her ability to effect rapid and dramatic change at the company.

Sun co-founder and Chairman Scott McNealy said Bartz is a strong, sharp leader whose experience and abilities should serve Yahoo well. "She has a proven track record of success and a history of smart strategic leadership, including her time here at Sun," he said.

Bartz ran Autodesk as CEO from 1992 to 2006. Autodesk is around half the size of Yahoo, with about 7,000 employees worldwide. During her tenure, the company diversified its product line and grew revenues from 285 million dollars to 1.523 billion dollars, in her final year.

 

Editor:Zhao Yanchen