The multinational Internet corporation Yahoo! has received criticism for a variety of issues.
In March 2004, Yahoo! launched a paid inclusion program whereby commercial websites were guaranteed listings on the Yahoo! search engine after payment. This scheme was lucrative, but proved unpopular both with website marketers (who were reluctant to pay), and the public (who were unhappy about the paid-for listings being indistinguishable from other search results). As of October 2006, Paid Inclusion ceased to guarantee any commercial listing and only helped the paid inclusion customers, by crawling their site more often and by providing some statistics on the searches that led to the page and some additional smart links (provided by customers as feeds) below the actual url.
Yahoo! has also been criticized for funding spyware and adware — advertising from Yahoo!'s clients often appears on-screen in pop-ups generated from adware that a user may have installed on their computer without realizing it by accepting online offers to download software to fix computer clocks or improve computer security, add browser enhancements, etc. The frequency of advertising pop-ups for spyware, generated from a partnership with advertising distributor Walnut Ventures, who had a direct partnership with Direct Revenue, could be increased or decreased based on Yahoo!'s immediate revenue needs, according to some former employees in Yahoo!'s sales department.
While technologically and financially you [Yahoo] are giants, morally you are pygmies
It's complicated.
Yahoo!, along with Google China, Microsoft, Cisco, AOL, Skype, Nortel and others, has cooperated with the Communist Party of China in implementing a system of Internet censorship in mainland China.
Unlike Google or Microsoft, which generally keep confidential records of its users outside mainland China, Yahoo! stated that the company cannot protect the privacy and confidentiality of its mainland Chinese customers from the authorities.