SAN FRANCISCO (Reuters) - Blogging platform Tumblr raised $85 million in a venture capital funding round led by Greylock Partners and Insight Venture Partners, plus the Chernin Group and Sir Richard Branson.
New York-based Tumblr does not have much revenue to speak of, but its investors say they are confident the company will find its way to profitability.
“They will succeed in working through that over the next months and years,” said John Lilly, a partner at Greylock Partners. High levels of user engagement led Greylock to make its investment, he said.
Tumblr said it is home to 30 million blogs, inspiring 13 billion page-views a month.
Previous investors Spark Capital, Union Square Ventures and Sequoia Capital also joined the round. Tumblr Chief Executive Officer David Karp launched the service in 2007. Its last funding round was $30 million in November 2010.
Reporting by Sarah McBride; editing by Gunna Dickson