TECH

Yahoo Tumblr Purchase Approved By Board: WSJ

Yahoo's board of directors has approved a deal to buy the popular blogging platform Tumblr, the Wall Street Journal reports.

According to the WSJ, it will pay $1.1 billion in cash for the site. The potential purchase was originally reported by the technology blog AllThingsD on Thursday, which also cited the same cash figure. AllThingsD also confirmed the board's approval on Sunday.

Yahoo is holding a press conference in New York, Tumblr's hometown, on Monday where the Sunnyvale, Calif.-based Internet company is widely expected to announce the acquisition.

Forbes reported on Saturday that Tumblr's board also approved the purchase.

The deal to buy the blogging website popular with young people, a demographic that Yahoo has had trouble reaching, will be the largest acquisition of CEO Marissa Mayer's tenure. The former Google executive took over the reins of the struggling Internet company in 2012 and hasn't been afraid to make splashy acquisitions. In March, Yahoo bought Summly, a news-summarization app created by a 17-year-old, for a rumored $30 million.

Meanwhile, Tumblr has been under increased pressure from investors to start generating a profit. The site, founded by CEO David Karp in 2007, brought in only $13 million in revenue in 2012. Karp's goal was to make $100 million in revenue in 2013.

Yahoo will spend about a third of its total cash holdings to make the deal happen.

HuffPost

BEFORE YOU GO

  • 1 Advice To Job Hunting Women
    "Find something you're passionate about and just love. Passion is really gender-neutralizing," Marissa Mayer said on Martha Stewart's "Women with Vision" television series in 2011.
  • 2 The Pie 'Isn't Big Enough'
    "Right now is a great time to be a woman in tech, but there's not enough women in tech," Mayer told a CES2012 panel hosted by CNET. "[I] worry a lot of times the conversation gets really focused on what percentage of the pie is women. And the truth is, the pie isn't big enough. We're not producing enough computer scientist. We're not producing enough product designers. We need a lot more people to keep up with all of these gadgets, all of this technology, all these possibilities." Mayer also commented on the stereotypical culture within the tech world: "There's all kinds of different women who do this. You can wear ruffles, you can be a jock, and you still be a great computer scientist or a great technologist, or a great product designer."
  • 3 Tangible Technology
    "There's just huge growth and opportunity. [T]he fact that the technology is now so tangible in our everyday lives, I think, will inspire a lot more women to go into technology -- and I'm really heartened by that," Mayer said for the MAKERS "Women in Tech" interview series in 2012.
  • 4 Internet Empowered
    "I consider myself incredibly lucky to be present in a moment in time when this wonderful and powerful medium, the internet, is empowering geeks -- and especially female geeks -- to express and pursue their passions," Meyer said in a 2012 acceptance speech at the Celebrating Change gala. She had just won the International Museum of Women's first-ever Innovator Award.
  • 5 Geekin' Out
    "People ask me all the time, 'What is it like to be a woman at Google?' I'm not a women at Google; I'm a geek at Google. And being a geek is just great," she said in an interview for CNN's "Leading Women" series in 2012.
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