Dot-com bubble (2000–2001)

Yahoo! stock doubled in price in the last month of 1999.[20] On January 3, 2000, at the height of the Dot-com boom, Yahoo! stocks closed at an all-time high of $118.75 a share. Sixteen days later, shares in Yahoo! Japan became the first stocks in Japanese history to trade at over ¥100,000,000, reaching a price of ¥101.4 million ($94,780 at that time).[21]

On February 7, 2000, the Yahoo! domain was brought to a halt for a few hours as it was the victim of a distributed denial of service attack (DDoS).[22] On the next day, its shares rose about $16, or 4.5 percent as the failure was blamed on hackers rather than on an internal glitch, unlike a fault with eBay earlier that year.


During the dot-com boom, the cable news station CNBC also reported that Yahoo! and eBay were discussing a 50/50 merger.[23] Although the merger never materialized the two companies decided to form a marketing/advertising alliance six years later in 2006.[24]

On June 26, 2000, Yahoo! and Google signed an agreement which retained Google as the default worldwide-web search engine for Yahoo! following a beta trial in 1999.[25]