

Yahoo 'to buy Tumblr for $1.1bn' - rukshn
http://bbc.co.uk/news/business-22591026

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hkmurakami
Existing HN discussion thread: <https://news.ycombinator.com/item?id=5733296>

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elmindreda
Well, there goes that service.

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madaxe
This just in: Internet giant purchases consumer web app with no revenue
streams and no profits.

Swear I've read this story a hundred times in the last decade. Has there been
a single acquisition of this nature which has resulted in a profitable outcome
for anyone, except for the VCs?

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mwilcox
YouTube?

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discodave
Do you think youtube's profits have paid for the initial purchase price and
the losses it ran for the first few years?

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yoster
Yahoo could have spent that billion creating their own. Their comment boards
are very popular. Great deal though. Hopefully it doesn't turn into a big flop
with major purchases like many other companies have gone through.

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nasalgoat
They could have, but why spend a year doing it and hoping people will use it?
Why go through the trouble of figuring out all the things Tumblr already did
while they did it?

Easier, cheaper and faster to buy it than build it.

~~~
justinhj
I'm not sure it's cheaper in this case.

