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Why Yahoo Bought Tumblr for $1.1 Billion

By May 23, 2013

(ReadWrite)

tumblr-1Why did Yahoo spend $1.1 billion to buy Tumblr? Two words: native advertising. For those who need a quick primer on what native advertising is, here’s a simple definition: “It’s an ad whose form and delivery is identical to the content environment in which it is served.” In other words, it’s nothing like the billboards, takeovers and banner ads that disrupt a user’s experience. Here’s what you need to know.