The Mobile App Yahoo May Be Targeting Next

by Christopher Freeburn | December 17, 2012 10:28 am

[1]Yahoo (NASDAQ:YHOO[2]) may be looking to snap up another social media startup[3].

Unnamed sources told AllThingsD that Yahoo is conducting due diligence on Summly, a news summarizing app created by Nick D’Aloisio, a 17-year old Briton.

Summly is reportedly negotiating with potential investors to obtain a new round of financing. The app, for devices running Apple‘s (NASDAQ:AAPL[4]) iOS, has been downloaded 500,000 times. The company has also struck content deals with News Corp. (NASDAQ:NWSA[5]).

Discussions between Yahoo and Summly are in the preliminary stages and no offer has yet been made. However, acquiring the trendy start-up would fit with Yahoo CEO Marissa Mayer’s strategy of rising young talent to build out its mobile development team[6].

Earlier this month, Yahoo acquired OnTheAir, a mobile online video chat service[7]. Just two months earlier, it acquired Stamped, another mobile start-up.

Shares of Yahoo slipped fractionally in Monday morning trading.

Endnotes:
  1. [Image]: http://investorplace.com/wp-content/uploads/2012/04/yahoo-building-630.jpg
  2. YHOO: http://studio-5.financialcontent.com/investplace/quote?Symbol=YHOO
  3. snap up another social media startup: http://allthingsd.com/20121213/mobilemobilemobile-yahoo-eyes-hipster-teen-founded-summly-news-app/
  4. AAPL: http://studio-5.financialcontent.com/investplace/quote?Symbol=AAPL
  5. NWSA: http://studio-5.financialcontent.com/investplace/quote?Symbol=NWSA
  6. build out its mobile development team: http://investorplace.com/2012/10/yahoo-is-drinking-the-mobile-kool-aid/
  7. mobile online video chat service: http://investorplace.com/2012/12/yahoo-snaps-up-yet-another-mobile-startup/

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