Several media outlets are reporting that Yahoo has approved a deal to acquire blogging startup Tumblr. People familiar with the matter say Yahoo has agreed to pay $1.1 billion in cash for the company. Tumblr would continue to operate largely as an independent business.
It wasn’t immediately clear if Tumblr’s board had also approved the deal. During her 10-month reign, Yahoo CEO Marissa Mayer has tried to attract more traffic and advertisers to the Internet company’s website and mobile applications.
Tumblr, which serves up a constantly changing collage of stories and photos by users, is one of the hottest sites among teens and young adults.