• 3,000 firms
  • Independent
  • Trusted
Save up to 70% on staff

News » Yahoo cybersecurity team laid off, outsourced by new CTO

Yahoo cybersecurity team laid off, outsourced by new CTO

yahoo-cybersecurity-team-laid-off
Photo from Reuters/ Robert Galbraith

NEW YORK, UNITED STATES — Yahoo’s cybersecurity division, called The Paranoids, has faced substantial layoffs over the past year. 

According to a report by TechCrunch, approximately 25% of the team, equating to 40 to 50 employees out of 200, have been laid off or have left through attrition. 

Strategic changes under new CTO Valeri Liborski

These layoffs are part of a broader strategic shift led by Yahoo’s new Chief Technology Officer (CTO), Valeri Liborski, who took on the role in September

Liborski communicated these changes in an email to employees, highlighting adjustments across various technology units, including enterprise productivity and core services. 

He expressed the challenges of these decisions, stating, “This was a very difficult decision and one I have not taken lightly.”

Outsourcing of offensive security operations confirmed

A significant change includes the complete elimination of The Paranoids’ red team, which was responsible for simulating cyberattacks to identify vulnerabilities within Yahoo’s network. Yahoo confirmed that these offensive security operations will now be outsourced

Yahoo spokesperson Brenden Lee stated that the company’s security program has evolved over the past seven years and that outsourcing reflects this maturity, allowing Yahoo to focus resources on critical security priorities.

“This change reflects the sophistication of our program and enables us to concentrate resources on critical security priorities, maintaining the highest standards of protection for our users and platforms,” Lee added.

Impact on Yahoo’s overall workforce and strategy

The cybersecurity layoffs are part of a larger trend at Yahoo, which saw over 1,600 employees laid off last year — about 20% of its total workforce

This restructuring was described by CEO Jim Lanzone as beneficial for Yahoo’s profitability, with plans to reinvest in other business areas.

Commitment to core security amid restructuring

Despite these changes, Yahoo asserts that its security program remains strong and industry-leading. The company is concentrating resources on essential security priorities to maintain high standards of protection for its users and platforms. The decision to outsource certain operations is viewed as a strategic move to enhance efficiency while maintaining security excellence.

These developments indicate a significant shift in how Yahoo manages its cybersecurity efforts under new leadership while navigating broader organizational changes aimed at improving profitability and operational focus.

Read more here.

Start your
journey today

  • Independent
  • Free
  • Transparent

About OA

Outsource Accelerator is the trusted source of independent information, advisory and expert implementation of Business Process Outsourcing (BPO)

The #1 outsourcing authority

Outsource Accelerator offers the world’s leading aggregator marketplace for outsourcing. It specifically provides the conduit between Philippines outsourcing suppliers and the businesses – clients – across the globe.

The Outsource Accelerator website has over 5,000 articles, 450+ podcast episodes, and a comprehensive directory with 4000+ BPO companies… all designed to make it easier for clients to learn about – and engage with – outsourcing.

About Derek Gallimore

Derek Gallimore has been in business for 20 years, outsourcing for over eight years, and has been living in Manila (the heart of global outsourcing) since 2014. Derek is the founder and CEO of Outsource Accelerator, and is regarded as a leading expert on all things outsourcing.

“Excellent service for outsourcing advice and expertise for my business.”

Learn more
Banner Image
Get 3 Free Quotes Verified Outsourcing Suppliers
3,000 firms.Just 2 minutes to complete.
SAVE UP TO
70% ON STAFF COSTS
Learn more

Connect with over 3,000 outsourcing services providers.

Banner Image

Transform your business with skilled offshore talent.

  • 3,000 firms
  • Simple
  • Transparent
Banner Image