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On May 13, 2012, Yahoo issued a press release stating that Thompson was no longer with the company, and would immediately be replaced on an interim basis by Ross Levinsohn, recently appointed head of Yahoo's new Media group.

In early 2012, after the appointment of Scott Thompson as CEO, rumors began to spread about looming layoffs.

Several key executives, such as Chief Product Officer Blake Irving, left.

Yahoo provided Internet communication services such as Yahoo Messenger and Yahoo Mail.