Yahoo's payment processing system suffered periodic system disruptions early in the week after 'Cyber Monday' kicked off. Errors were first reported by merchants who reported complaints from their customers.
Untold numbers of merchants use the service, but we're betting that its a very high number, Nobody has provided a clear estimate of lost revenues yet, but if the number turns out to be quite high it could end up being an excellent opportunity for rivals to pick up new customers.
“The cause remained under investigation at noon local time.
Yahoo shares tumbled 3.5 percent to $25.22, closing down 91 cents on the day on Nasdaq. The stock traded heavily after a report on CNBC television highlighted the Yahoo merchant outages and its potential impact on a key online shopping day.”
While the cause is still not entirely clear, we're going to guess that the sheer volume of consumers who don't want to wait hours in lines probably played a major role. We can't help but wonder what kind of hardware they're using, and how many users it took to crash it.