Automattic Buys Tumblr for Pennies on the Dollar

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Automattic, the company behind WordPress, just bought Tumblr from Verizon for less than US$3 million. Verizon had acquired the site from Yahoo for US$1.1 billion.

As part of the deal, Automattic will gain 200 staffers from Tumblr. Verizon is said to have discussed a sale of Tumblr with a handful of different companies but ultimately landed on Automattic. “The sale price isn’t material to Verizon,” today’s report says citing “people familiar with the matter.”

Before you get excited, know that the porn ban will remain in place.