Published: Wed, August 14, 2019
Finance | By Loren Pratt

Verizon announces sale of Tumblr to Automattic, the owner of WordPress

Verizon announces sale of Tumblr to Automattic, the owner of WordPress

In a statement made up of words that definitely mean something, Verizon characterised its sale of Tumblr as "the culmination of a thoughtful, thorough and strategic process" and called Automattic "the ideal partner" which "will unlock new and exciting possibilities for Tumblr and its users". Terms of Verizon's sale to WordPress owner Automattic weren't disclosed.

Verizon Communications Inc said on Monday it would sell its blogging website Tumblr to Automattic Inc, the owner of popular online-publishing tool WordPress. The companies' announcement said the deal is "subject to customary closing conditions".

Automattic's lineup already includes, Jetpack, Simplenote, WooCommerce, Longreads, and more.

Tumblr was founded in 2007 by David Karp. Though the sale price is undisclosed, reports say it is a fraction of what Yahoo paid for Tumblr in 2013. It was then under Yahoo when Verizon bought Yahoo in June 2017.

The price that Automattic is paying for the microblogging site is a bit surprising as well; the company is reportedly only paying less than US$3 million (~RM12.58 million) for the site.

In December past year, the service took a hit when Verizon announced its decision to ban all adult content on Tumblr, which had comprised the greater part of the platform.

Blogging platform Tumblr is, yet again, getting a new owner.

Following the deal, Tumblr has become the second major Yahoo property spun-out of Verizon.

Tumblr's popularity has been dwindling over the years, and a decision by the firm last year to ban all adult content as it scrambled to crack down on child pornography came as a particularly hard blow. In April 2018, Verizon sold photo-sharing service Flickr to SmugMug.

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