YAHOO to buy social networking site Tumblr

Yahoo! Inc. is under negotiations for acquiring Tumblr Inc. for $1.1 billion in a bid to attract more users and advertising contracts. Tumblr is a social service that hosts 108 million blogs.

Yahoo’s Executive Committee approved the takeover, but Tumblr decision is still unknown.

Founded in 2007 by businessman David Karp, Tumblr contacted several major companies in the technology sector demanding a takeover or a partnership, sources close to the matter told Bloomberg.
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Tumblr has seen in the last month over 13 billion views of its web page and has recently begun to offer advertisers the opportunity to better position their ads. The company is expects to reach a profit level this year.

Yahoo and Tumblr representatives have not answered to calls from Bloomberg.