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Yahoo’s New Leap: Taking Over Tumblr

May 27, 2013, by , under Yahoo and Tumblr

Many of us have heard about tumblr. It’s a famous micro blogging site, famous in western world. Day by day it’s getting popularity in eastern world too. Tumblr has made it easier for users to create blogs and post their own write-ups, photos and videos. Tumblr users can stay up-to-date with other people’s updates, just like the way Facebook users do to follow friends. With these interesting features, Tumbl remerged micro blogging with the social media. Tumblr started their journey on February, 2007. Tumblr’s logo is Tumblr., it was founded by David Carp. After starting its journey, tumblr gained popularity within just 2 weeks.

Rumor turns out to be true

The micro blogging site tumblr was running their business quite fairly and independently. But on 20th May, 2013 the twist enters in tumblr’s journey. A rumor was going at the beginning of 2013 that Yahoo will own Tumblr. ! And on 20th May, 2013 this rumor turned out to be true!

tumblr

A Spark For Yahoo!: Marissa Mayer

The present Yahoo’s Chief of Executive (C.E.O.) Marissa Mayer, is famous for her new initiatives to revive Yahoo! Formerly she was a key spokesperson of Google, after leaving Google she has joined as the C.E.O. of Yahoo! on July 16, 2012.  Yahoo is considered to be the one of the very first web pioneer of the world. But at end of 2010, Yahoo was losing its popularity in the competition among Facebook, Gmail. Marissa’s new thoughts and business policies revived Yahoo and brought it again in the first row in the web world competitions.

Her another new policy was to make yahoo popular by owning tumblr.! Mayer decided to spend $1.1 billion to take over tumblr officially. This deal is one of the largest deal to own social networking site after Facebook. Formerly, Facebook spent $1 billion to purchase Instagram last year.

Spark of Yahoo

A Risky Deal

Though tumblr. is one of the largest micro blogging and social networking site. But still tumblr requires a lot of customization. It needs a long way to customize tumblr fit for mobile. The desktop computer, Laptops is soon getting replaced by smartphone, tablets and mobile phones. People always opt for using those websites which are customized to use on mobile phones, tablets etc. On this particular case, Tumblr needs to look into this fact seriously. Many criticized Marissa for this deal. Many criticizers believe that, she has spent a fortune to buy tumblr. Moreover, the deal states that Yahoo can’t change the present look of Tumblr. It was the pre requisite demanded by David Carp to Marissa. “Taking over Tumblr.is OK, but Not To Screw it”.

Mistake or A New Strategy?

As we have discussed earlier, Tumblr needs a lot of customization for mobile devices. Especially, its Landscape views should be more developed to view it on mobile. Moreover, a $1.1 Billion investment for Tumblr is not really worthy. The deal of $1.1 billion is a big win for the founder of David Karp, but a risky deal or a mistake for Yahoo. Tumblr is the 24th largest viewed site in the world. Where the top viewed site of the world, Facebook spent $1 billion for purchasing Instagram, there spending $1.1 for the 24 th ranked website does not look really fair. The

biggest mistake is spotted on the deal is “Notto Screw Tumblr.”. But in a crucial way, Marissa is already going to break this promise. She has taken some strategy for tumblr. regarding advertisements. If this strategy is implemented then, “Not to Screw Tubmlr” Promise will be eventually broken.

But many believe that the collaboration of yahoo and tumblr is not a mistake. Rather it’s a new leap for both Yahoo and tumblr. Yahoo has already outlined to utilize some of Tumblr’s features in a fruitful way. As an example, the top of the site “dashboard” will contain some extra ads.

The strategy lies here is to utilize the free users regular viewing. In maximum world famous websites, we have seen that firstly, users get free access to utilize all its features. After getting fair number of users the ad viewing policy is implemented. On this case, Yahoo is going to do the same on Tumblr., but in a bit different way. They will customize the top dashboard and utilize it for more extra ads.

We believe that both Marissa and Karp is business intellectuals on the web. Both of them have pioneered two different companies in their own way. No matter Yahoo takes over Tumblr., but Mr. Karp will remain the C.E.O. of tumblr. We hope that, this collaboration of these two large companies will draw more users.

New Strategy

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Author:
Nazia Jahan
Vice President of Dhaka University Career Club

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