BILLION dollar deal makes 26-year-old America's next tech tycoon: High school drop-out behind blogging site Tumblr —sells it to Marissa Mayer's Yahoo
New Yahoo CEO Marissa Mayer believes purchase of mico-blogging site will be a 'stake in the ground' for her tenure as head of the tech giant
Board approached all-cash purchase on Sunday, despite Tumblr having only $13million in revenue last year
David Karp founded Tumblr in his mother's Manhattan apartment in 2007
Site boasts 100million users and 90million daily blog posts
So how did a $13million a year revenue generating blog network sell for $1 billion? It's not about the money.
"What makes business work is creating value. If you’re going into the business with the intention of not creating value, but of having it magically provide money for you, then you often make really bad choices. The business that you’re investing in or creating doesn’t tend to be creating value for its customers or for anyone. So it doesn’t tend to spit off the cash you’re hoping it will. So many times I’ve seen people pursue passive income, and end up having active losses instead. They just spend a lot of time and money trying to push responsibilities off on other people and having it not work.”
Read more: http://www.dailymail.co.uk/news/article-2326998/Yahoo-buys-Tumblr-1-1billion-Founder-
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