Yahoo paid $1.1 billion for Tumblr. How’s it going to make its money back?
A bunch of ways, Marissa Mayer explained on a conference call today. But if you’re a Tumblr user who was hoping that those ways didn’t involve putting more ads on your free blogging service, well … don’t read on.
Still reading? Okay! So: Don’t be surprised when you see more ads on your dashboard, and/or some of the Tumblrs you visit.
First, the stakes: Yahoo said it doesn’t expect Tumblr to generate meaningful money for the Web giant this year. But next year, Yahoo CFO Ken Goldman said, “we do expect this to enhance EBITDA and revenue.” And prior to the Tumblr deal, J.P. Morgan estimated that Yahoo would generate $1.7 in EBITDA on $4.65 billion in revenue in 2014.
In other words: It takes a lot of money to move Yahoo’s needle. And Yahoo thinks Tumblr — which generated all of $13 million last year — will do that within the next 20 months.
On to the ads: Yes, Tumblr users, you’re going to see more of them. Here’s Mayer, with a preview, via a Wall Street conference call this morning:
“On Tumblr, there’s a number of different places where we think we can monetize in a way that is meaningful and really addititive to the user experience.
For example, Tumblr has what’s called the “dashboard”, which is their version of the newsfeed — or in old school terms, an “inbox” for the blogs you follow. So basically different bloggers that you follow can all appear there in your feed.
And today, Tumblr already does some advertising, though minimal, in that feed. We would like to look at them and understand how we could introduce ads — in a very light ad load — where the impact is really created, because the ads really fit the users’ expectations and follow the form and function of the dashboard.
We also see some opportunities to possibly work with bloggers who want ads, to provide ads on their Websites. That would always be done with the blogger’s permission”
Again, Yahoo has promised “not to screw up” Tumblr, and there are plenty of cautionary tales to help them avoid doing that right away. So I wouldn’t expect a flood of ads swamping Tumblr in the next year or so.
On the other hand: It’s a free Web product, which means it’s not really free at all. So if you’re using it, you’re going to pay with your eyeballs. You’re not surprised, right?


Brilliant
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Can we just appreciate that we all know exactly what she is saying in the comments.
Oh damn…
(via clockworktardis)
Gregory Euclide - Otherworldly: Optical Delusions and Small Realities (2011) - Oil on canvas landscape, collected litter and other materials from Central Park, NYC
Artist’s statement:
“I painted a large traditional landscape that flows onto the floor and toward a fifth-floor window overlooking Central Park. The work consists of several dioramas built from materials that were collected on walks as well as several paper casts from boulders in Central Park.”
Amazing
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What alcohol says about you.
HAHAHAHAHAHAHA my ex drinks gin and tonic. I’d say this is ironic.
Pretty much accurate right here.
dead
Vodka Cranberry all the way. haha
As someone who works in a bar, I can verify that all these are spot on.
As another bartender, I second this.
Mr. Brightside - The Killers.
↳ I’m coming out of my cage and I’ve been doing just fine. Gotta, gotta be down because I want it all. It started out with a kiss, how did it end up like this? It was only a kiss, it was only a kiss.
(via clockworktardis)
For a series entitled Bottom Feeders, New York-based ceramic artist Mary O’Malley created a variety of wonderful porcelain teacups, saucers, teapots, and vases adorned with and inhabited by a variety of “porcelain crustaceans.” Mary’s pieces don’t appear to be made by hand. Instead they look as though they spent ages on the ocean floor where they were overtaken and inhabited by all sorts of undersea creatures before being brought to the surface for display.
If you head over to Mary O’Malley Etsy shop you’ll find many original pieces from the Bottom Feeders series available for purchase. They’re perfect for your next underwater-themed high tea or a meeting of your local Lovecraftian
cultbook club.[via Colossal]
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in all fifty States?
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Watson…And her forbidden
(via do-you-have-a-flag)






