Yahoo Acquires Tumblr For $1.1 Billion
Kara Swisher for AllthingsD:
As part of the deal, Tumblr CEO David Karp — who got a windfall of cash from the deal — will stay at Yahoo for four years at least and retain much control over the service, much in the same way Instagram CEO Kevin Systrom does at Facebook. But, as there, Yahoo will undergird Tumblr’s nascent advertising business with its large and established infrastructure.
People are concerned as yahoo has a bad record of shutting down its acquisitions such as Del.icio.us, Geocities and Broadcast.com. However, if they treat Tumbler the way Facebook has treated Instagarm till now, I think things will work just fine.