Daily News Article - May 21, 2013
1. a) How much has Yahoo agreed to pay for Tumblr?
b) How much money did Tumblr make in 2012?
2. How do industry analysts view Yahoo's purchase of Tumblr? Be specific.
3. How is the deal expected to help Yahoo's business?
4. What concerns do Tumblr users have with Yahoo's purchase?
5. How is Yahoo addressing concerns users have with Yahoo's purchase of Tumblr?
6. Do you use Tumblr? If so, how does it compare to other social media sites you use or have used?
7. Reuters reports that in a 2012 interview David Karp, 26, who founded Tumblr in 2007 and will remain CEO, "seemed to be less interested in money than in Tumblr’s prominence. 'There are a lot of rich people in the world. There are very few people who have the privilege of getting to invent things that billions of people use,'" he said.
Media reports have suggested Karp will make over $200 million in the billion-dollar sale. What do you think of the implication that he's really not as interested in the money? Explain your answer.
8. At one time, 80% of Tumblr's top sites were "adult content" sites and even today at least 5% contain adult content. Do you think a social media site geared toward young people should have a policy restricting adult content? Explain your answer.