Marissa Mayer

Yahoo’s Tumblr acquisition sends clear message to advertisers

It’s official: Yahoo has purchased popular blogging platform Tumblr for more than a billion dollars – $1.1bn to be exact.

The internet’s latest nine-figure acquisition is probably one most industry observers wouldn’t have predicted.

After all, despite that an ex-Googler, Marissa Mayer, is at Yahoo’s helm, there were few prior indicators that she was looking to make a billion dollar purchase.

And if there had been, Tumblr, while incredibly popular, doesn’t seem like the company that would have made it to the top of the list as Yahoo’s track record with acquisitions of user generated content startups is not all that impressive.

From Geocities to Flickr, Yahoo has proven to be a master of reverse alchemy in the space, repeatedly finding ways to turn gold to lead.

Yahoo turns to Google for ads: sign of a new friendship?

When Yahoo recruited Marissa Mayer from Google to replace interim CEO Ross Levinsohn, some suggested that Mayer’s departure from Google was an indication that she had reached her limit for advancement at the search giant, and that her role at Google was actually not as important as it might have seemed.

Whether the rumors about Mayer’s status at Google were accurate or not, one thing was certain: Yahoo was placing a huge bet on the 30-something executive, one that might have been the last such bet it could make.