Yahoo to Buy Tumblr, Vows 'Not to Screw It Up'

NBCNews.com With CNBC.com
Monday, 20 May 2013 | 8:49 AM ET
Yahoo's Bid to Buy Tumblr
Monday, 20 May 2013 | 8:03 AM ET
CEO Marissa Mayer and company are planning to buy blogging website, Tumblr for $1.1 billion, reports CNBC's Jon Fortt.

Yahoo said Monday it will buy blogging website Tumblr for $1.1 billion cash, in a bold move to make itself more relevant amid the explosion in social media on the Internet.

In the press release announcing the deal, Yahoo said it "promises not to screw it up." It said Tumblr will operate independently as a separate business, perhaps trying to assuage Tumbler users who are concerned that Yahoo would irrevocably alter the blogging site's edgy image.

Source: Tumblr.com

News of the deal was widely leaked Sunday. Talk of a deal began circulating Friday, after The Wall Street Journal's All Things D reported that the two companies had been in talks for several weeks.

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Since Marissa Mayer became CEO at Yahoo, the company has acquired several companies that appeal to younger audiences, including Summly, Astrid and Jybe. Yahoo has also been rumored to be eyeing Hulu.

Observers say Mayer is making these deals to attract a younger audience.

email: tech@cnbc.com

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  • Matt Hunter is the senior technology editor at CNBC.com.

  • Cadie Thompson is a tech reporter for the Enterprise Team for CNBC.com.

  • Working from Los Angeles, Boorstin is CNBC's media and entertainment reporter and editor of CNBC.com's Media Money section.

  • Jon Fortt is an on-air editor. He covers the companies, start-ups, and trends that are driving innovation in the industry.

  • Lipton is CNBC's technology correspondent, working from CNBC's Silicon Valley bureau.

  • Mark is CNBC's Silicon Valley/San Francisco Bureau Chief covering technology and digital media.