Verizon sells blog platform Tumblr to Auttomattic

Tumblr has been acquired by Word Press owner Automattic

"We are proud of what the team has accomplished and are happy to have found the ideal partner in Automattic, whose expertise and track record will unlock new and exciting possibilities for Tumblr and its users".

Verizon has agreed to sell the service for less than $3 million, a tiny fraction of the $1.1 billion that Yahoo paid for the social network in 2013.

The company did not disclose the terms of the deal, however, U.S. news site Axios has reported the social media site may have sold for less than US$10 million.

Verizon is selling off the blogging platform Tumblr to WordPress.com's parent company, Automattic. The Wall Street Journal previously reported on the sale, saying that Automattic would take on about 200 staffers.

Tumblr was founded by David Karp in 2007 as one of the first microblogging services.

Automattic Inc. CEO Matt Mullenweg said in a blog post (on his own personal Tumblr) that he looked forward to working with everyone from site.

Tumblr's popularity, and presumably value, took a significant hit at the end of past year as it responded to a push to limit child exploitation material on the site by deploying an artificial intelligence-powered filter to remove any and all sexually explicit material.

Automattic, which allows adult content on the WordPress.com platform, said it has no plans to undo the ban on adult content on Tumblr, in general. A blanket ban on all kinds of adult content was also seen by many from the community to be a bit harsh and resulted in many people leaving the platform.

As Yahoo and its assets have been chopped up and reformed by Verizon (neé Oath), there's been speculation around the possible sale of Tumblr - informed by high-level exits within the company, and finally confirmed by Verizon itself this may when it announced the site was up for auction.

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

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