Aging Yahoo! faces new Tumblr generation

Yahoo! is already showing signs of age. Tumblr represents a new generation.

WASHINGTON: Yahoo! is just under two decades old and already showing signs of age. Tumblr, the cool blogging platform, represents a new generation.

This split marks both a challenge and an opportunity for the firms, after the announcement that Yahoo! is buying the six-year-old startup for $1.1 billion, mainly in cash.

"Yahoo users are behind the curve, Tumblr users too cool for school," said Arvind Narayanan, a Princeton University computer scientist, in a tweet.

Yahoo users are (seen as) behind the curve, Tumblr users too cool for school. From this POV the acquisition seems ironically appropriate.

— Arvind Narayanan (@random_walker) May 20, 2013

Tumblr could be crucial to Yahoo! because of its popularity with younger Internet users. A survey this year conducted by the online data group Survata found Tumblr more popular than Facebook among those aged 13 to 25.

"Yahoo skews toward older demographics. Tumblr is ridiculously strong among Millennials," said a tweet from Brian Solis, analyst with Altimeter Group.

Yahoo skews toward older demographics. Tumblr is ridiculously strong among Millennials http://t.co/aK76ay4BEE by @joannastern

— Brian Solis (@briansolis) May 20, 2013

Some comments posted on Tumblr as the news broke highlighted this generation gap, as if their parents were intervening to spoil the party.

"YAHOO, CLOSE TUMBLR AND YOU'LL DIE!" one Tumblr user wrote.

Another wrote: "Dear Yahoo ... If you change anything, we will show up at your headquarters with fire and pitchforks. Don't try us."

Still another posted: "Please leave Tumblr alone. You acquired it for the cool factor... Don't tinker with it; don't change it ... Leave it alone."

Yahoo! chief executive Marissa Mayer, in announcing the deal, pledged to allow Tumblr to remain independent, while integrating technology and advertising opportunities.

"Per the agreement and our promise not to screw it up, Tumblr will be independently operated as a separate business," Mayer said in a statement.

"David Karp will remain CEO. The product, service and brand will continue to be defined and developed separately with the same Tumblr irreverence, wit, and commitment to empower creators."

Karp echoed those comments, saying in his own blog post: "We're not turning purple," in reference to the Yahoo! portal's signature color.

But some analysts say it could be hard for Mayer to keep her promise of keeping Tumblr independent while seeking ways to make the deal pay off.