At the recent WordCamp Canada 2025 conference, Matt Mullenweg, co-founder of WordPress and CEO of Automattic, candidly addressed the challenges surrounding the company’s acquisition of Tumblr. He described the endeavor as his biggest failure to date but emphasized his commitment to revitalizing the platform.
In 2019, Automattic acquired Tumblr from Verizon for a reported $3 million, aiming to rejuvenate the once-popular blogging site. The initial strategy involved migrating Tumblr’s extensive infrastructure—comprising over 500 million blogs—to WordPress’s backend. This transition was intended to streamline operations, reduce costs, and integrate Tumblr into the open social web, known as the fediverse.
However, the migration project faced significant obstacles. Earlier this year, Automattic announced a pause in the migration, citing the substantial costs and technical complexities involved. Mullenweg highlighted that maintaining Tumblr’s separate technical stack was financially burdensome, especially given the platform’s ongoing unprofitability. He stated, I need to switch [Tumblr] over to WordPress, but it’s a big lift. It’s over 500 million blogs, actually, and, as a business, it’s costing so much more to run than it generates in revenue.
To address these financial challenges, Automattic implemented cost-cutting measures, including layoffs and reallocating resources to more profitable segments of the business. Despite these efforts, the desired turnaround for Tumblr has yet to materialize. Mullenweg acknowledged the situation, remarking, It’s probably my biggest failure or missed opportunity right now, but we’re still working on it.
The integration of Tumblr into the fediverse remains a key objective for Automattic. By aligning Tumblr with WordPress’s infrastructure, the platform could seamlessly connect with other federated services, enhancing user engagement and expanding its reach. This move would also allow Tumblr users to leverage custom plugins and themes, enriching their blogging experience.
During the Town Hall session, Mullenweg also discussed other initiatives within Automattic. He introduced Playground, a tool that enables users to run WordPress entirely within a web browser, simplifying the development and testing process. Additionally, he highlighted Beeper, Automattic’s universal messaging app, which is set to expand its support to include bridges to other messaging platforms like KakaoTalk and various dating app messaging services.
Addressing the broader technological landscape, Mullenweg shared his perspectives on artificial intelligence (AI). He acknowledged the irreversible impact of AI on society, stating, We’re not putting the genie back in the bottle and described companies like OpenAI as too big to fail. In the context of WordPress, he mentioned plans to tag AI-generated images in the theme directory, allowing users to filter their searches accordingly.
The discussion also touched upon the legal tensions between Automattic and WP Engine, a WordPress hosting company. Automattic has previously criticized WP Engine for profiting from the open-source ecosystem without adequate contributions. Mullenweg suggested creating incentive systems to encourage positive contributions, such as granting higher rankings in the WordPress directory to those who actively support the community. He also urged users to vote with your wallet by choosing to support businesses that align with ethical practices.
In summary, while the acquisition of Tumblr has presented unforeseen challenges for Automattic, the company remains dedicated to overcoming these hurdles. By focusing on strategic integrations, technological innovations, and fostering a supportive community, Automattic aims to position Tumblr as a sustainable and vibrant platform in the evolving digital landscape.
