Last week, Verizon (NYSE:VZ) announced plans to divest its Yahoo and AOL digital media businesses, as it looks to focus on its core wireless business. The assets will be sold to Apollo Global Management for about $5 billion.
Verizon’s media and advertising businesses have faced challenges scaling up amid competition from Internet behemoths such as Facebook and Alphabet. Verizon has taken write-downs of over $4 billion in its media arm over the last few years.
The move will allow Verizon to free up resources to focus on expanding its 5G network. In March, Verizon emerged as the biggest winner of the C-band spectrum auction, agreeing to pay over $50 billion for 5G airwaves.
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