US telecoms giant Verizon is selling its media assets, which include the two companies, to a US private equity firm in a deal worth $5bn (£3.6bn).
Verizon bought Yahoo in 2017 and AOL in 2015 for a combined $9bn.
Yahoo and AOL were once trailblazers, but were subsequently overshadowed by firms like Google and Facebook.
By providing free web mail and chat messenger services, the two firms had a cornerstone for online advertising on the market, as most internet users in the early 2000s were accessing their websites and software on a daily basis.
Yahoo also provided everything from the news, weather reports, sports results and movie release dates; to message boards, its own version of eBay - Yahoo! Auctions - and real-time markets data.