YAHOO BUYS TUMBLR IN BILLION DOLLAR DEAL – For someone who dropped out of High School, David Karp, 26, is not doing too bad financially after signing a deal to sell his micro-blogging site to Yahoo for a cool £1.1 billion in cash.
Yesterday Yahoo CEO Marissa Mayer called a board meeting to thrash out a deal to acquire Tumblr which has over 100 million users and experiences content creation of around 90 million posts per day.
By Sunday afternoon Yahoo’s board approved the purchase of Tumblr and despite its revenues being only £13 million a year it decided the acquisition would fit nicely into its portfolio.
Tumblr is a favourite among many micro-blogger as it allows for social networking, the uploading of text, image and video that is simple and fast to use. AllthingsD reported that Yahoo wanted a quick acquisition that allows for Yahoo’s strategy of gaining a wider audience through Tumblr that can be integrated with other services it offers.
One of the things that Tumblr has been so successful at is providing its users with a very easy to use interface which allowed users to quickly set-up their own blogs for public viewing.
Tumblr is also quite popular among celebrities, Lady Gaga being one of them. It is also hugely popular with other websites; such as Meebal.com which allows for social networking of our news articles.
While some people have complained about the amount of explicit material on Tumblr it also remains very popular with the porn industry who continues to use Tumblr to promote their productions.
Tumblr also has a highly dedicated user group with reports that 85% of all users post over 20 items of content each per month which continues to fuel people’s need for information.
With the tech industry booming with new ideas from young and bright entrepreneurs it is unlikely that this sale will be unique in the coming years.
Do you have a new website you think is exciting? Why not tell us your story and see it published on Meebal.com – contact us today.