While everything is almost final for Verizon to close the Yahoo deal, a sudden report made Verizon claim $1billion discount on the deal which was supposed to be a deal of $4.8 billion.
The reason behind this sudden demand of discount is the data breach in Yahoo which had a bad impact on Yahoo brand along with their stock.
A data breach occurred in Yahoo back in 2014 when around 500 million users were affected and their name, email id, password, security question etc. all encrypted and decrypted data were stolen.
According to Yahoo, this hack was performed by the state-sponsored attacker and even though the stolen passwords were encrypted, the additional information can be reused along other websites in identity theft schemes. But the company discovered the fact very recently and confirmed the news in September.
However, that’s not all rather a week back the company faced another allegation of scanning its user’s email without their permission or without informing the security engineers of the company for the behest of the US Intelligence Agency.
This has again created a drama and it is Yahoo CEO Mayer who is to blame for all now, according to many. After receiving the request from the US Intelligence agency, the company did not approach to court to fight it rather they ordered the team to create a custom mail scanning software and performed the scanning. Also, this was not disclosed in the biannual transparency report of Yahoo.
So, all these leaked news altogether made Verizon claim such discount as the company brand is affected by it. Verizon has also acquired AOL, Techcrunch’s parent in the last year for $4.4 billion. However, the US carrier has not commented anything on this.