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Tumblr's CEO and founder David Karp would remain a large shareholder.

The announcement reportedly signified a changing trend in the technology industry, as large corporations like Yahoo, Facebook, and Google acquired start-up Internet companies that generated low amounts of revenue as a way in which to connect with sizeable, fast-growing online communities.

Japan; following the completion of the acquisition, these assets will be retained under the name Altaba, with a new executive team.

On December 14, 2016, the company revealed that another separate data breach had occurred in 2014, with hackers obtaining sensitive account information, including security questions, to at least one billion accounts.

It was globally known for its Web portal, search engine Yahoo! Japan, which were transferred to Yahoo's successor company Altaba.

The company struggled through 2008, with several large layoffs. At its height it was one of the most popular sites in the United States. Answers, advertising, online mapping, video sharing, fantasy sports, and its social media website.In early 2012, after the appointment of Scott Thompson as CEO, rumors began to spread about looming layoffs.Several key executives, such as Chief Product Officer Blake Irving, left.