The Times commented, "Marissa Mayer caused an uproar last year when she banned telecommuting for Yahoo employees. Now it looks like she again wants workers as close to the company as possible."
Yahoo said in a statement that it will continue to have a presence in India and that Bangalore "remains an important office" but declined to provide specific details.
"As we ensure that Yahoo is on a path of sustainable growth, we're looking at ways to achieve greater efficiency, collaboration and innovation across our business," Yahoo said.
"We're making some changes to the way we operate in Bangalore leading to consolidation of certain teams into fewer offices."
Bloomberg said about 1,000 Yahoo employees work from Bangalore.
Brooks Holtom, associate professor of management at Georgetown University's McDonough School of Business, said eliminating jobs in India while bringing some of them back to the U.S. could promote greater efficiency and creativity at Yahoo.
"What I'm reading into this is a desire to unite product development," he said. "That collaborative process is easier done face to face."
Mayer joined Yahoo as CEO two years ago, has been trying all kinds of initiatives to get the struggling Internet company back on track, including a string of acquisitions. But a lot of work remains to be done said the LA Times report.
When the company released its second-quarter earnings, Mayer said she was "not satisfied" with the results.
For the three months ended June 30, Yahoo reported revenue of $1.08 billion, down 4 percent from a year earlier. Profit dropped 19 percent to $270 million.
Display revenue was $436 million for the second quarter, down 8 percent from a year earlier. The number of ads sold increased about 24 percent, but the price per ad decreased roughly 24 percent.