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26 year old high school -- is now America's newest tech tycoon.
David Clarke former -- founder of the popular blogging service Tumblr.
And today the aging Internet giant Yahoo! announced it's buying his company.
For a little more than one billion dollars in cash.
The move comes in the wake of Yahoo!'s recent struggles not reason -- -- long time struggles and as part of its attempt to attract younger users.
In essence Tumblr is a social media site.
Where users create and share their own blocks folks posts or share all sorts of writings photos videos -- no.
Anything they want.
It also have to be very big with a young adults which is -- for advertisers but.
Analysts say it is a huge risk for Yahoo! Tumblr did not make a lot of money last year just thirteen million dollars yet -- just sold for one point one billion.
The fox -- C correspondent Jonathan Hunt is here this could be risky I suppose for both sides.
Yeah obviously risky for Yahoo! because they pay so much money more than a billion dollars for a company that made relatively speaking so little.
Thirteen million dollars one financial analyst has said today that it.
Tom -- was making it 100 million dollars and they paid one billion that's ten times the revenue that.
Is normally on the -- to limits.
Of these kind of mergers and acquisitions -- it's a big gamble for Yahoo! on the other side for tumble -- eight risks losing that kind of independent spirit the anything goes the idea you could put up.
-- doing tricks any sort of and SFW.
Content won't say for what that means -- -- Anyway Marisa -- -- the SC EO of Yahoo! said she won't change -- listen.
We're back in time where we're making them empowerment.
And not through it.
The -- to -- sentiment from their brand and -- will continue to operate as separate the product and business.
Yahoo! said much the same of course when they bought geocities remember them Yahoo! -- three billion dollars for geocities a few years ago where is it now.
-- and completely and that the -- single ball this is the guy who created it I mean.
Are you kidding me yet David -- use if he's a high school drop back 26 years old.
His share of this deal reported to be anywhere from 200 million to 275.
Million dollars he said in an interview with a Gabi in a few years ago there's a lot of rich people in the world.
Not this quote there's a lot of rich people in the world there are very few people have the privilege of getting to invent things of billions of people use now it seems he has both of those privileges.
And he told his tumble -- I found is they won't change it he said quote.
We -- not turning couple -- headquarters isn't moving -- team isn't changing our road map isn't changing and our mission.
-- -- -- create is to make their best work and get it in front of the audience they deserve.
Certainly isn't changing the only thing that is changing for -- is David -- back.
Yeah that that is for sure changed so Yahoo! is gonna allow this pornography up there.
Only -- with the -- context and analysis foxnews.com.
Science and technology editor Jeremy -- -- -- who's been talking about it.
They don't specifically -- are we gonna censor any content.
Tumblr it's my understanding from the kids.
Have a lot of XXX.
I just read a report that eleven point 6% of the content on there is explicit pornography.
So that's one of the main -- that these kids have for this -- boom that's one thing it's not gonna change apparently were leaving it all they did not say that.
They said we're not turning purple.
They didn't say anything about content content censoring that they were not specific on this matter Jeremy.
I think for now she's gonna leave it exactly the way it is whatever it is it's working we got 300 million people they -- fifty billion posts like -- now people above the age of thirty have heard the word Tumblr.
People didn't know what -- was a lot and a lot everybody 25 an underdog every single person ask your grandchild what.
Grandma did not know what's happen on the Tumblr and grandmas don't know now -- exact -- It is going to be a big problem for them -- -- didn't have to deal with that a particularly if they move towards like -- -- -- deal with that it's not Tumblr anymore if it's not Tumblr anymore.
It's not even worth -- thirteen million made this year one point one billion without Yahoo!.
Lou I don't know.
Well that's the big dilemma they're gonna have to deal with right.
You wanna you wanna bring some advertising to this there -- almost no advertising at present for these 300 million active users these are -- -- in just a little bit.
But what do those advertisers getting are they getting featured on.
Those explicit sites with the wrong kind of information and I don't think they want to advertise there when you find what you're looking for on Tumblr when it's late at night.
The new exclamation is.
-- -- -- -- -- -- Match made in hell is it to stand by for news from this face.
It's homered Yahoo! but you got to applaud this kid I mean all high -- god and -- like they endorsed drop out of high school by any stretch but.
He had some big ideas and he sold them off it's it's the American dream in one sense I -- good -- Oh no doubt he made thirteen million in profit and sold -- thing for one point one billion.
Is -- 2004.
Yes when you forget what forget finance finance -- -- it doesn't look good from that sense but from a from us in terms of the number of users -- in terms of the youth of young users going to be -- line phones to data mining from this thing.
Gold Yahoo! precisely thank you sir I was playing the last.
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