Mar 13, 2008 - 20:27

Yahoo moves European base to Switzerland

Internet services company Yahoo said on Thursday it was moving its European headquarters to Switzerland from London.

The California-based group said it would move to a site at Rolle, on the shores of Lake Geneva, within 18 months.

Yahoo said five per cent of its European work force would be involved in the move. A spokeswoman declined to say how many staff Yahoo had in Europe and whether the move would result in job losses elsewhere.

Swiss media have reported that Yahoo will benefit from a special tax break in Switzerland. Yahoo declined to comment on the reports.

Car maker Nissan, confectionery and drinks group Cadbury Schweppes and network equipment manufacturer Cisco Systems all have their Europeans headquarters close by.

In October 2007 Yahoo signed a deal to buy industrial land worth SFr4.8 million ($4.5 million) outside Avenches in western Switzerland with a view to building a regional data centre that would employ 35 people and provide additional storage capacity for its European development.

Yahoo's competitor Google recently opened a European research and development centre in Zurich.