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Verizon has reportedly cut Yahoo’s price by up to $350 million

marissa mayer

Ethan Miller/Getty

Yahoo and Verizon agreed to cut their deal price by up to $350 million following Yahoo’s disclosures of two data breaches, according to The Wall Street Journal

The companies also agreed to split the costs of the breaches, according to the report. 

Bloomberg reported last week that Verizon had tentatively reached a revised deal that lowered Yahoo’s price by about $250 million. 

Verizon agreed to buy Yahoo’s ailing internet business last July for $4.8 billion.

Yahoo said in January that the breaches, which affected more than a billion user accounts, could result in the termination of the deal. However, Verizon CEO Mowell McAdam chose to move ahead with the deal because it would help the wireless carrier take on Google and Facebook, the Journal reported. 

By following through, Verizon will be able to expand its targeted advertising platform. Verizon could also become a major media company by owning the extensive reach of Yahoo’s news, sports, and finance sections. 

The Securities and Exchange Commission (SEC) is investigating whether Yahoo should have told investors about the hacks sooner. 

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