Yahoo was just given the go-ahead from Santa Clara City Council to build a gigantic new headquarters.
There’s hundreds of millions of very practical reasons for Yahoo not to build a new headquarters. For one, we don’t think Yahoo is a big growth company that will need a facility that’s bigger than Google’s HQ. For another, it’s an expensive undertaking for a company that’s trying to cut costs.
There’s another, less practical, but equally compelling reason: New headquarters for struggling companies are a curse. From Inktomi to the New York Times, when a company on the edge decides to break ground on a new HQ, trouble isn’t far off.
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