What Makes Start-Up Tumblr Worth $1.1 Billion?

In the boldest move yet by new CEO Marissa Mayer, Yahoo will buy the blogging site Tumblr for $1.1 billion. The move is a bet that Tumblr's large community of users is a source of potential profits. While Tumblr is a fast-growing startup, it has not generated significant revenue.

Source: http://www.npr.org/templates/story/story.php?storyId=185596300&ft=1&f=1019

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