Battered by slow revenue growth and the popularity of social networking Web sites, Yahoo! Inc. is poised to lay off hundreds of workers, according to published reports.
The New York Times and The Wall Street Journal have both reported on the slumping Internet icon's cost-cutting plans, citing people familiar with the matter.
Precisely how many of Yahoo's roughly 14,000 employees will lose their jobs hasn't been determined, the newspapers said. A final decision could be announced January 29 when Yahoo executives are scheduled to review the Sunnyvale-based company's fourth-quarter results.
If several hundred employees are dumped, it will mark Yahoo's most extensive layoffs since 2001 when the company was trying to battle back from the dot-com bust.
The payroll purge was first reported over the weekend by Silicon Alley Insider, a blog focused on investments in technology and media. The blog said Yahoo had drawn up a list of 1,500 to 2,500 jobs that could be eliminated, but Monday's reports indicated management doesn't expect the cuts to be that deep.
A Yahoo spokeswoman didn't immediately return calls seeking comment.
It won't come as a surprise if Yahoo jettisons workers, said Global Equities Research analyst Trip Chowdhry. He believes Yahoo has room to trim its work force by about 5 percent, or 700 employees, after phasing out some of its services, such as auctions and photos, during the past year.
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