This page has been updated with the latest news on the story
Update: Yahoo! Board has approved the Tumblr purchase. It;s very likely a deal will be made now.
Tomorrow, Yahoo have said they are going to be showing use 'something special' and the biggest rumour is that Yahoo going to be acquiring Tumblr.com for $1.1 billion. According to allthingsd.com, Sources close to the situation have said the companies board will meet tonight to decide whether or not to approve the situation.
Sources have also said that, originally, Yahoo had planned to invest in the company but changed this decision to fully taking over the business. Yahoo is looking to attract more content created by users of their services, like that on Tumblr.
Tumblr is a blogging/ social networking website founded in 2007. It currently has 108.3 million blogs with 50.8 billion posts. The site is very popular with younger people with over half of it's users being aged under 25.
TechCrunch has also revealed the following:
Tumblr employees have been told that the company only has enough funds to operate for a few more months, as its costs far exceed the limited revenue it earns. Tumblr pulled in $13 million in 2012, but has accelerated its advertising offering in hopes of hitting $100 million in revenue this year. The money’s not coming in fast enough to support its expenses though. Employees were recently told not to be concerned, though, because the company is expecting to be bought.
User response:
The feedback from users has been very negative with many threatening to delete their blog if the take over goes ahead.
One user described it as: It’s like Tumblr is the Titanic and Yahoo is the iceberg.
Below are just a couple of responses found on http://www.tumblr.com/tagged/yahoo.
Do you use Tumblr? Do you use Yahoo? What's your reaction? Comment below:
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