Sunnyvale (CA) - Yahoo will be announcing a sizable layoff later this month. According to the latest rumors on the Silicon Valley Grapevine, the job cuts will probably be announced after the company reports its 4th quarter results. Depending on what source you read, several hundred to a few thousand people will lose their jobs.

Yahoo is facing some tough times with increased competition from Google and Microsoft in the search engine space. The company’s stock briefly hit $34 a share back in October, but shares are now hovering just above $20.

Yahoo spokesperson, Diana Wong, has partially confirmed the layoffs in the following emailed statement to media outlets, "Yahoo! has embarked on a multi-year transformation that includes making tough decisions about the business to help the company grow... Yahoo! plans to invest in some areas, reduce emphasis in others, and eliminate some areas of the business that don’t support the company’s priorities."

Yahoo has a total workforce of approximately 14000 people and is headquartered in Sunnyvale California.

Read more ... New York Times.