A good story about Yahoo’s prospects in Germany, and why it is not doing so well there. While Yahoo’s revenue growth has accelerated by double-digit percentages in most European countries, Germany has chugged along in first gear since 2000, Dominique Vidal, head of Yahoo Europe said. He blames a lack of competition for depressing growth there.
By contrast, Spain and France led Yahoo’s growth in Europe in the most recent quarter at rates of 80 percent to 100 percent ahead of a year earlier in Spain and 60 percent higher in France.
These two countries are now outpacing even Britain, which has always done well and accelerated at 40 percent in the same quarter from a year earlier.
“Big competition among ISPs means prices are going down for broadband connections,” Vidal said. “When prices go down, that means more broadband, more time spent online.” That leads to more media consumption and in turn more advertising revenue for companies like Yahoo and its rivals.
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