Deepak Chandnani, the country head of Yahoo! India is making an exit from the company. The new CEO is expected to be appointed from within the company by weekend. Speculations are rife that more heads will roll later on as part of the company's restructuring process.
Speaking to exchange4media, Chandnani clarified, "I'm leaving purely on personal reasons with an intention to move forward in my career growth path." He had been with Yahoo! right from its inception in year 2000. An old Hindustan Levers Ltd. and Citibank hand, he is expected to join back a financial institution in the mid of next month. But he refused to comment on his new appointment by saying 'let the new employer come out with the news at the appropriate time'.
Chandnani further informed that the new CEO of the company has been finalized and his name will be announced by S.I.Lee, Regional Vice-President Yahoo! South Asia by the weekend. According to reliable sources, someone from within the organization is tipped to replace Chandnani. Arun Gupta and Neville Taraporewalla from the current set of top managers are the frontrunners, if grapevine is to be believed.
According to market speculations, Yahoo! India inspite of adding new revenue streams and 27 millions registered users from India has not been able to meet the expectations of the parent company which has refused to pump in additional funds in India operations. So there are rumours that Yahoo! India is curtailing down its operations under pressure from the parent company. But Chandnani is quick to deny them as he claims, "All the departments in Yahoo! India will continue to function. We have done a restructuring that will impact less than 7 positions across all departments in order to improve efficiencies. Yahoo! will continue to have a team of 70 + people in India."
The revised strategy of Yahoo! is expected to reduce expenses by doing away with staff which does not fit into the new scheme of things. It won't be surprising if the portal's content is streamlined including reducing the product offerings to the users to maximize the use of resources. Similar strategy has been adopted by Yahoo worldwide as well with positive results.
Refuting market speculations, Yahoo! India claims a healthy revenue picture with a strong media business and mobile services as a solid revenue stream. The company is expected to announce this weekend itself a new strategic alliance with a major telecom player on short messaging services (SMS) and other related offerings.
(With additional reporting from Ritu Midha, exchange4media Mumbai Bureau)