Yahoo Buys Tumblr, Increasing its Visibility in New York City
Fri, 24 May 2013 | Written by Corporate Suites Staff
Yahoo recently announced that it is purchasing New York-based Turmblr, Inc. for a cool $1.1 billion. The blogging network will continue to host its more than 1 million blogs, and founder David Karp is expected to stay at the helm. Yahoo CEO Marissa Mayer is banking that the hip Tumblr will rub off on the aging Yahoo in a bid to challenge Google and Facebook in the social networking arena. The display advertising markets in this sector is an estimated $17.7 billion. Tumblr has become the hippest online venue for people to display their photography, artwork and writing online. The company is located in New York’s Flatiron district, home to many new technology startups that are snapping up office space in New York. Some of the office’s decor includes the original red-brick walls of the building, giving it a hip, urban ambiance. It is also noted for its quirky, off-beat wall art. The Tumblr New York office space features many of the amenities that are found in the digs of successful Silicon Valley startups. Dogs are welcome in workspaces. Fun is encouraged as part of the workplace culture, which includes a game room and a high-tech beer tap. Tumblr’s mascot, a Pomeranian named Tommy, also works on employee morale. Karp, 26, founded Tumblr in 2007. The social networking site was started based on Karp’s interest in tumbleblogs, short-form blogs. He introduced Tumblr after no established blogging site created a platform for the blog form. Tumblr is just one of several high-profile technology companies with office space in New York.