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I'm pretty sure Tumblr wasn't worth anything. Yahoo wrote off most of its value after they acquired it.

by pram 8y ago

jillesvangurp 8y ago
Tumblr was a rapidly growing social platform that had Facebook shitting their pants when Yahoo bought it from right under their noses. They followed up with some acquisitions of their own, some of which have been quite successful for them. Of course Yahoo ran this into the ground and never really had a coherent strategy to do anything productive with this. Yahoo destroyed quite a few perfectly good startups with active user bases that each were on clear paths to IPOs. I'm pretty sure the Tumblr acquisition by Verizon was just part of some bigger deal that involved bailing out some of the investors with an 'exit'. Yahoo was imploding and that was inconvenient to a lot of investors. Companies like Verizon have plenty of money and lots of ties to the same investors. Many of which probably benefited from this kind of controlled demolition. It was never about salvaging something of value; just about bailing out investors. Verizon can absorb the loss. I doubt this will have big consequences for any of their leadership. The next phase in Tumblrs life will be hedgefunds stripping what remains of value. It's a dead company at this point. Anyone with a clue probably bailed before Yahoo sold out to Verizon and most of the rest probably left right after.
- henrikschroder 8y ago
  > I'm pretty sure the Tumblr acquisition by Verizon was just part of some bigger deal that involved bailing out some of the investors with an 'exit'. The "bigger deal" was the sale of all of Yahoo's business to Verizon, which was an all-or-nothing-deal.
  - jillesvangurp 8y ago
    To be fair, Tumblr was one of the more well known and probably more valuable bits that they got as part of that package. I believe e.g. Flickr was sold separately. As I understand it, Verizon has pretty much devalued the entire package already a few months ago: https://www.nbcnews.com/tech/tech-news/verizon-signals-its-yahoo-aol-divisions-are-almost-worthless-n946846 https://www.nbcnews.com/tech/tech-news/verizon-signals-its-y...

I'm pretty sure Tumblr wasn't worth anything. Yahoo wrote off most of its value after they acquired it.

by pram 8y ago

I'm pretty sure Tumblr wasn't worth anything. Yahoo wrote off most of its value after they acquired it.

Tumblr was a rapidly growing social platform that had Facebook shitting their pants when Yahoo bought it from right under their noses. They followed up with some acquisitions of their own, some of which have been quite successful for them. Of course Yahoo ran this into the ground and never really had a coherent strategy to do anything productive with this. Yahoo destroyed quite a few perfectly good startups with active user bases that each were on clear paths to IPOs. I'm pretty sure the Tumblr acquisition by Verizon was just part of some bigger deal that involved bailing out some of the investors with an 'exit'. Yahoo was imploding and that was inconvenient to a lot of investors. Companies like Verizon have plenty of money and lots of ties to the same investors. Many of which probably benefited from this kind of controlled demolition. It was never about salvaging something of value; just about bailing out investors. Verizon can absorb the loss. I doubt this will have big consequences for any of their leadership. The next phase in Tumblrs life will be hedgefunds stripping what remains of value. It's a dead company at this point. Anyone with a clue probably bailed before Yahoo sold out to Verizon and most of the rest probably left right after.

henrikschroder 8y ago
> I'm pretty sure the Tumblr acquisition by Verizon was just part of some bigger deal that involved bailing out some of the investors with an 'exit'. The "bigger deal" was the sale of all of Yahoo's business to Verizon, which was an all-or-nothing-deal.
- jillesvangurp 8y ago
  To be fair, Tumblr was one of the more well known and probably more valuable bits that they got as part of that package. I believe e.g. Flickr was sold separately. As I understand it, Verizon has pretty much devalued the entire package already a few months ago: https://www.nbcnews.com/tech/tech-news/verizon-signals-its-yahoo-aol-divisions-are-almost-worthless-n946846 https://www.nbcnews.com/tech/tech-news/verizon-signals-its-y...