Since Yahoo acquired the Right Media Exchange (RMX) for $680 million in 2007, Yahoo has been unable to hang on to Right Media executive leadership.
Right Media CEO Mike Walrath quit in 2009. His deputy and successor, Bill Wise soon followed. Bill’s successor, Ramsey McGrory, just quit Yahoo.
Why does this keep happening?
A source close to the Right Media organisation tells us the main problem is that Yahoo refuses to set up the exchange as a separate business. Right now, it operates under the Yahoo Ad Network.
Says our source: “If you have it under the Yahoo ad network, the [in-house] publisher ad revenue becomes the priority.”
That’s a problem because the exchange is supposed to be a place where third-party advertisers and third-party publishers are supposed to be able to find each other.
“Walrath left because at the end of the day he didn’t think that Yahoo would invest sufficiently and properly to support RMX and fund it as a platform. Bill got frustrated for same reason. [Ramsey] got frustrated for the same reasons.”
Another big reason all three bosses left is that they are each entrepreneurial types who would rather go start or takeover their own thing elsewhere, than stay at Yahoo and fight political battles with more entrenched old-timers.
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