Alibaba and China Yahoo reorganize to integrate search and e-commerce services

Alibaba and China Yahoo reorganize to integrate search and e-commerce services Beijing. January 24. INTERFAX-CHINA - Alibaba Group is to restructure its subsidiary, China Yahoo in order to integrate the group's search and e-commerce services, the company announced yesterday. "Integrating the flow of information, capital and products is the future of e-commerce over the next ten years. We have to grasp this opportunity, which is why we are conducting this reorganization," executive vice president of Alibaba Group and President of China Yahoo Zeng Ming said in the announcement. "The purpose [of the restructure] is to accelerate the integration of e-commerce and search engine services, which is the goal set by our CEO, Jack Ma," a spokesperson who wished to remain anonymous told Interfax. "Within China Yahoo, some overlapping business units have been downsized to departments with the aim of making maximum use of all resources. Some China Yahoo staff will also move to Alibaba Group." When asked about a report in yesterday's Shanghai Daily that a number of staff cuts were to be made at China Yahoo, the spokesperson said it was not necessarily the case that the restructure would lead to redundancies, though he could not be sure. According to yesterday's announcement, Alibaba Group is to establish three new departments based on former China Yahoo departments - a search engine technology center, a pay for performance operation center and a media sales center. China Yahoo will also establish new departments, including communications, Web site operations, e-mail service operations and marketing, in order to replace its former new media and search engine departments. Alibaba Group's new search engine technology center will develop search engine products and provide technical support for the group's other subsidiaries. China Yahoo's new Web site operations department will focus on integrating search, community and other functions, the announcement said. -CG
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