[adventured]

Well right now that sounds a lot like the old Yahoo that blew massive amounts of shareholder value on terrible acquisitions that never panned out.

Tumblr will pay for itself? Not a chance they're going to earn a billion dollars off of that, much less turn a healthy profit. As such, at it seems like all Mayer is doing is burning value on a spend $3 get $1 back exchange. Works great in a stock market bubble of course.

[jfoster]

You're right that Tumblr probably won't pay for itself as an individual unit, but perhaps the new Yahoo might be greater than the sum of its parts. It's not a sure thing, of course. We still need to see if they have a coherent direction. If they don't, then they probably can't be greater than the sum of their parts.