[pod4369]

"According to Forbes Tumblr is targeting $100M revenue in 2013 but, according to sources I spoke to who are familiar with the company, actual Q1 revenue growth was flat and Tumblr is on track to do only $15M in revenue this year."

This is unbelievable. I can't believe they're running out of the $85M so soon after raising it, and have basically nothing to show for it. I'd be pretty outraged if I were an investor.

[josephagoss]

How can a company making 15 million in revenue alone be worth a billion? I wonder what the profits look like...

I also wonder what those 175 employees are actually doing?

[michaelt]

I've seen plenty of business news articles where 'estimated' numbers or numbers from anonymous sources 'familiar with the company' were out by an order of magnitude.

[mratzloff]

They have 175 employees, so it's not too surprising they blew through $85 million in 8 months.

[jacquesm]

85000000/175=485714, that's actually quite surprising unless the averge flickr employee grosses more than 50 K per month.

$85 million is a lot of cash.

[inthewoods]

I imagine their infrastructure is quite a bill. Supporting that kind of traffic must be expensive - if you figure $1.5m a month, that's like $18m a year right there.

[Alphasite_]

Shouldn't that be /8? So around 6k per month.

[mratzloff]

You're off by one decimal place.