In January of 1994, two graduate students at Stanford University, Jerry Yang and David Filo created what we know today as Yahoo! Originally named "Jerry's Guide to the World Wide Web," Yahoo was a directory that organized other web sites into a hierarchy. The history of Yahoo begins.
Unlike other search engines, Yahoo! gained swift popularity. Just twelve months after its creation, Yang and Filo had over one million hits on their year old search engine. The sheer volume of people using it prompted Filo and Yang to incorporate Yahoo! early in 1995
The name Yahoo however, was already taken by other enterprises; Filo and Yang were forced to add the exclamation mark in order to trademark it. Yahoo! went public on April 12 1996 were it earned a total of 2.6 million dollars.
With it's growing popularity, Yahoo! started buying out companies such as eGroups and GeoCities. However, most of the buy outs produced a great deal of controversy since Yahoo! had a reputation of changing terms of services when they bought a company
As the history of yahoo unfolds and Yahoo's phenomenal climb to success, Yahoo!'s creators and shareholders were confident that they had themselves a goldmine that would enjoy a great deal of business success. They didn't predict the burst of the dot.com bubble in the early two thousands. Yahoo! survived the crisis but the value of Yahoo! stocks dropped to $8.11, an all time low.
To help rebuild itself, Yahoo! formed partnerships with telecommunication companies and internet providers, these alliances led to the creation of content rich broadband services that actively competed with AOL.
Yahoo! uses a combination of web crawlers compiled and indexed results to rank the websites that are registered on their search engine. In March of 2004 Yahoo launched a paid inclusion service. Webmasters could, for a fee, purchase a submission to Yahoo!'s human compiled directory. The annual yearly fee is about three hundred dollars. The theory is that the listing human's provide will influence web crawlers into giving the website a higher ranking. The paid inclusion program was a lucrative venture for Yahoo but was unpopular with webmasters. Paid inclusion did not guarantee a high ranking; it only guaranteed that the business would be ranked.
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