Yahoo CTO on what it takes to compete


Having said that, when it comes to new product categories and deeply innovative features in existing product categories, Yahoo hasn't delivered and the first step in getting better is to acknowledge that. In strategy conversations late last year, we did acknowledge that, and we've put in place innovation programs inside the company to support the development of new product categories and of very innovative features.

I don't think we'll be turning out two "home runs" a year, if a "home run" is a Facebook, but you'll see us: a) putting out innovative stuff and b) fostering that over time, which is very important. A struggle companies face with innovative new product categories is that you get that early hit, and it's the coolest thing ever, but then you get to year two or year three and then it's not [as cool] anymore, yet you have to continue to invest in it. We recognize that as another pitfall to innovation and are prepared to create a structure that makes sure we see it through.