Verizon will merge Yahoo and AOL to create Oath
When Verizon’s acquisition of Yahoo finally closes and the former merges Yahoo with its existing AOL unit, the combined entity will reportedly get a new name: Oath.
That’s according to Business Insider, who quoted “sources”, but the news seems to be confirmed by a tweet from AOL CEO Tim Armstrong (see image below).
The $4.8-billion deal was announced in July, but was plagued by news of data breaches, which resulted in a $350m discount for Verizon.
According to Business Insider, the deal gives Verizon Yahoo's search, mail, content and adtech businesses. What remains of Yahoo will live on as Altaba.
And, Business Insider reports, “a big new branding campaign” is expected to coincide with the launch of the new company.
"In the summer of 2017, you can bet we will be launching one of the most disruptive brand companies in digital," an AOL spokeswoman told Business Insider.
Business Insider also noted the deal is expected to close in the second quarter, but the deadline could be extended – or the deal could still be terminated.
Speaking with The Drum at Dmexco 2016, Armstrong took time to speak with The Drum over its ambitions for the eventual combined entity to disrupt the advertising market via way of its offering to brands (see video above).