Why does Yahoo! buy failed startups? It’s the only way it can get good developers
Mayer had taken a lot of flack in the press for purchasing startups with little traction, many of whom did not even build or invent the technology for which they were praised in the acquisition announcements. But Mayer isn’t buying these companies for what they built; she’s buying the engineers who built them.
As Bloomberg Businessweek noted in its recent profile of Mayer, every time she’s bought a startup, “Yahoo has locked up engineers with two- to four-year contracts and set them loose to build apps and hire more mobile developers, according to two people familiar with Yahoo’s deals who weren’t authorized to speak for the company.”
Mayer is the Captain Janeway of tech CEOs