I'd recommend watching the #yahoo! feed on Tumblr in order to watch the Tumblr community's reaction, and see the inevitable hilarity. (Not providing a link due to high probability of NSFW content. Search for #yahoo! on Tumblr.)
The Yahoo board has approved a deal to pay $1.1 billion in cash for Tumblr
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Re: The Yahoo board has approved a deal to pay $1.1 billion in cash for Tumblr
#42Earlier quoted context omitted.
"it hasn't seen much innovation" For the existing team at tumblr (say anyone who has stock that is) things like this end up being a buzz kill after it settles in. Working towards something is fun and motivating. Once you get it things simply change (speaking from personal experience and observation here (also as you are pointing out). For example, would you like to get paid now for all the work you are going to do fo…
You write "twitter" where you mean "tumblr".
Re: The Yahoo board has approved a deal to pay $1.1 billion in cash for Tumblr
#43I wonder how this will pan out for Tumblr with Marissa Meyer at the helm. If we look at Flick (bought by yahoo in 2005), it hasn't seen much innovation or new features in the last 8 years and has been mostly coasting. I wonder if this will be the case for Tumblr under Marissa's leadership.
Re: The Yahoo board has approved a deal to pay $1.1 billion in cash for Tumblr
#44Re: The Yahoo board has approved a deal to pay $1.1 billion in cash for Tumblr
#45The rate at which Yahoo is buying out companies for talent acquiring , I wonder what must be going through minds of engineers at yahoo.
Re: The Yahoo board has approved a deal to pay $1.1 billion in cash for Tumblr
#46I wonder how this will pan out for Tumblr with Marissa Meyer at the helm. If we look at Flick (bought by yahoo in 2005), it hasn't seen much innovation or new features in the last 8 years and has been mostly coasting. I wonder if this will be the case for Tumblr under Marissa's leadership.
And wasn't one of Marissa's plans when she came aboard to try and revive Flickr, since she saw it as a big asset? Not that it's jumped leaps and bounds since then, but I would think that she'd want to nurture tumblr a bit.
Re: The Yahoo board has approved a deal to pay $1.1 billion in cash for Tumblr
#47Per AllThingsD, "There were no other competing bids, despite reports, to snap up the New York-based hipster blogging service." http://allthingsd.com/20130519/yahoo-tumblrs-for-cool-board-...
Why didn't Yahoo just let them get desperate and buy them then? With an all-cash deal, it seems they're less interested in the team than the platform so seems they could have picked that up in a few months for significantly less.
What am I missing in this? I hope the answer is not that doing that would create enmity between Yahoo and Tumblr's investors or something like that? That would strike me as a gross violation of their fiduciary duty to their shareholders, no?
Re: The Yahoo board has approved a deal to pay $1.1 billion in cash for Tumblr
#48The rate at which Yahoo is buying out companies for talent acquiring , I wonder what must be going through minds of engineers at yahoo.
A rising tide lifts all boats. From a recent-grad perspective, Yahoo fell far, far behind the rest of Big Tech on the desired employment scale. Part of this was for changeable reasons -- we've read in recent months about the larger offers and better perks that Mayer's been implementing -- but another huge reason is that Yahoo's workplace has a reputation for uninspiring people doing uninspiring work. From all the ane…
Re: The Yahoo board has approved a deal to pay $1.1 billion in cash for Tumblr
#49I wonder how this will pan out for Tumblr with Marissa Meyer at the helm. If we look at Flick (bought by yahoo in 2005), it hasn't seen much innovation or new features in the last 8 years and has been mostly coasting. I wonder if this will be the case for Tumblr under Marissa's leadership.
Maybe Yahoo's involvement with Tumblr will be limited, much like Conde Nast's management of Reddit.
Re: The Yahoo board has approved a deal to pay $1.1 billion in cash for Tumblr
#50Earlier quoted context omitted.
My best guesses: 1. Yahoo would rather spend cash than stock (possibly because they anticipate Yahoo stock going up in the future). If Yahoo thinks that $1 in stock today will be worth $2 in 3 years , it might make more sense to spend cash. This is a huge gamble, of course. 2. Cash is intrinsically more valuable than stock; in other words $1 cash != $1 stock. Yahoo may feel more comfortable spending $1 Billion cash t…
This doesn't make sense. Which CEO doesn't believe that their stock won't go up in 3 years? If they don't believe it, they should be fired. Cash is much more valuable than stock. Any CEO worth their salt would ALWAYS issue stock and never cash, since stock is essentially free (with some GAAP repercussions, but better that then spend cash). But it sounds like tumblr wanted cash instead of cash/stock. It doesn't matter…
This is clearly untrue. Which moron CEO at the head of a newspaper anticipates anything more than a very modest increase in their stock over the next few years? Most newspapers are very much aware of their problems. Do you think a CEOs job is to bury their head in the sand and ignore all of the company's problems? Because that's the only way your statement could even come close to being true.
And 2.. as far as Yahoo.. keiferski is right.. it depends on how rapidly yahoo anticipates to grow. Obviously a stock growing at 50% is worth more than one growing at 10%.. and maybe Mayer is incredibly bullish on Yahoo, and believes Yahoo stock is worth more than what the market thinks it is.