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Will Tumblr Be Next To Receive Yahoo’s Kiss of Death

Yes Yahoo strikes again! But have they learnt from past mistakes? Or is Tumblr going to be the next Internet business to receive yahoo’s kiss of death! Yahoo buying up Internet businesses I’m talking about and let’s be honest here, they haven’t made a very good job of it in the past, in fact one could be forgiven for wondering if the ex Yahoo management now hold positions in any of the big city banks.? Many an up & coming young business has suffered a slow & lingering death after Yahoo has taken the reigns.  Just read below for some of the screw ups Yahoo is notorious for & then place a small wager on Tumblr’s future.

Yahoo’s Past Big Buys Tell a Tale of Mediocrity and Failure

Will Tumblr Be Next To Receive Yahoos Kiss of Death (1999)—In one of the frothiest moments of the first dot-com bubble, Yahoo bought a financially unsuccessful internet radio startup for a reported $5.7 billion in stock and made Mark Cuban very rich. The service was rebranded Launchcast and has cycled through multiple corporate partners as better ideas – from the first Napster to Spotify – have made the very idea of “broadcasting” on the internet obsolete.

Geocities (1999)—When the first great ’90s nostalgia movie hits, we’ll undoubtedly meet the protagonist as he rocks out to Pearl Jam while creating some sweet tiled backgrounds and table-based layouts on his GeoCities page. It’s hard to fault Yahoo for swapping $3.6 billion in stock for what at the time was one of the web’s most trafficked sites. It’s easier to blame the company for allowing GeoCities to sputter in dot-com limbo before shuttering the U.S. version a decade later.

Overture Services (2003)—Yahoo’s purchase of Overture for more than $1.6 billion stands as its largest acquisition not directly aimed at consumers. The Google AdWords competitor was quickly rebranded as a Yahoo property and continues to serve up a high volume of internet advertising. But Yahoo has struggled to get those ads to generate as much revenue per ad as Google’s, and has faced the wrath of advertisers over changes to the service.

Right Media (2007)—To bulk up in its battle against Google, Yahoo spent $680 million to complete its acquisition of ad auction service Right Media. The purchase helped fill out Yahoo’s Panama ad platform but hasn’t helped Yahoo close the gap in the company’s perpetual race to catch up to its dominant competitor.

Kelkoo (2004)—Yahoo bought European price-comparison site Kelkoo in 2004 for nearly $600 million. In 2008, Yahoo reportedly unloaded the sputtering service for about one-quarter of what it paid. (2002)—Yahoo battled online job search rival Monster Worldwide to acquire HotJobs for $436 million. Less than a decade later, Monster took HotJobs off Yahoo’s fumbling hands for $225 million.

eGroups (2000)—In one of the few bright spots in Yahoo’s history of acquisitions, its $432 million purchase of eGroups helped build the foundation of the incredibly popular Yahoo Groups. But popularity has never been Yahoo’s main problem. Converting that popularity into profit is where the company has always foundered, and its priority if the Tumblr acquisition is to avoid a GeoCities repeat.

Original Source Via – Marcus Wohlsen / Wired

And then of course we also have MyBlogLog yet another social network that was rocketing to a successful place on the Internet, until Yahoo coughed up $10,000,000 & of course the kiss of death!

Yahoo Acquires MyBlogLog for $10 Million

Bradley Horowitz, VP of product strategy at Yahoo, said that MyBlogLog would remain a separate entity (much like their other social acquisitions)

MyBlogLog was originally developed by Cloudspace— an Orlando, Florida web applications development shop. It was acquired in January, 2007 by Yahoo for slightly more than $10 million and with over 45,000 blogs subscribed at the time. In 2008, MyBlogLog averaged approximately 22 million visits to pages with MyBlogLog widgets each day, and the site had over 275,000 registered members.

On February 24, 2011 Yahoo announced the MyBlogLog service would be terminated on May 24, 2011.

Original Source Via – Wikipedia


But although Yahoo’s past record is shameful, there are signs of change.


Flickr Shows Signs of Life With Slick Web Redesign, Killer Android App

Will Tumblr Be Next To Receive Yahoos Kiss of Death


Flickr wants to remind you that it’s a photo site.

Will Tumblr Be Next To Receive Yahoos Kiss of Death

“Everything that we’ve done in this new redesign has been about putting the photo front and center,” says Flickr VP Brett Wayn.

For a photo site, Flickr looks like it was designed in 1997. That ends today with a site redesign that removes all that icky whitespace and meta-data that only your photographer cousin cares about and creates a giant mosaic of color. Or shades of gray if your photos are all artsy and dramatic.

Flickr is also offering users 1 TB of space for free. According to Adam Cahan senior vice president of mobile and emerging products at Yahoo, if you took a photo every hour of ever day, it would 65.5 years to fill that space. An ad-free option is available for $50 a year and a pro version of the service will set you back $500 for 2 TB of storage.

Original Source Via - Roberto Baldwin Wired




Ok well this is definitely long over due, so could this be a sign of things to come..?


Yahoo looks to regain its cool with Tumblr deal


Will Tumblr Be Next To Receive Yahoos Kiss of DeathAfter falling woefully out of fashion, Yahoo wants to be cool again while catering to the capitalistic demands of its shareholders. That goal led CEO Marissa Mayer to make a $1.1 billion bet on online blogging forum Tumblr in a risky acquisition that revolves around the vision and instincts of a 26-year-old entrepreneur who dropped out of high school to pursue his dream of bringing more beauty and creativity to the Internet.

The deal announced Monday is Mayer’s boldest move since she left Google 10 months ago to lead Yahoo’s latest comeback attempt. It marks Yahoo’s most expensive acquisition since it bought online search engine Overture a decade ago for $1.3 billion.

While hailing Tumblr as a fount of creativity that attracts 300 million visitors each month, Mayer told analysts Monday that she is “making a sincere promise to not screw it up.” Yahoo said its founder, David Karp, will remain in charge and will keep Tumblr’s headquarters in New York to retain the same “irreverence, wit and commitment to empower creators.”

By MICHAEL LIEDTKE AP Technology Writer

Original Source Via – Miami


Hmm so promising not to screw things up eh..? I wonder is this statement directed at those of us that remember the days of MyBlogLog..? Not bought for anywhere near this amount, in fact I think it was a mere $10 Mil give or take the odd few hundred thousand which is just pocket change in comparison.


Tumblr CEO’s Mom Gushes Over Billion-Dollar Baby

Will Tumblr Be Next To Receive Yahoos Kiss of Death

Tumblr CEO David Karp speaks at the 16th annual Webby Awards in New York in this May 21, 2012 file photo. (Stephen Chernin/Reuters)

NEW YORK — As a teenager, Tumblr CEO David Karp would canvass the streets of New York City’s Upper West Side, offering to build websites for local businesses. After his freshman year of high school, the precocious, computer-savvy kid decided to drop out altogether to devote more time to his passion for technology.

A few years later, Karp built Tumblr — the wildly popular blogging forum — from his tiny childhood bedroom, hunched over his laptop with bags of Tostitos. And on Saturday, the 26-year-old technology wunderkind returned home to inform his mother that, in a game-changing transaction, Yahoo was buying Tumblr for $1.1 billion.

“There were a few tears and lots of hugs, and a lot of excitement,” said his mother, Barbara Ackerman. “This is something that he built — it’s his baby — and it’s emotional.”

Original Source Via - Meghan Barr, Associated Press
So the big question is, are Yahoo’s fortunes really going to improve and take an upward stance or will this newly acquired site go the same way as many before it..? I guess only time will tell on this one. But irrespective of how Yahoo handles it’s latest & greatest acquisition, you’ve got to take your hat off to David Karp, 1.1 Billion is one hell of a pay cheque by anyone’s standards.

About Steve Nickson

Steve is a UK ex-pat currently living in the Philippines, he has been involved with computers for over 24 years, the last 7 years focusing on SEO & Social Media strategies, Web Promotion & Affiliate / Internet Marketing. He is constantly testing new ideas & is always keen to share his knowledge & expertise with fellow bloggers. Connect with Steve using the links below.
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