Yahoo Buys A Mobile News Startup Founded By A 15-Year-Old For $30 Million

Yahoo announced today that it has acquired Summly, a mobile news aggregation app from British entrepreneur Nick D'Aloisio.

D'Aloisio is only 17-years-old. When he started Summly, he was only 15.

Summly scans the Web for news and uses an algorithm to find the type of content you want to read. Then it summarizes it for you.

Yahoo is going to shut down Summly as a stand alone app, but it says it's going to incorporate Summly technology into its own mobile apps and sites.

Clearly, Yahoo CEO Marissa Mayer wanted to hire D'Aloisio. She has been making a lot of small acquisitions like Summly. She wants to bring young, fresh, mobile-focused talent to Yahoo.

Humoursly, Aaron Levie, CEO of cloud storage company Box, notes on Twitter that D'Aloisio was born after Yahoo was founded.

There was no price announced with the deal. However, All Things D reporter Kara Swisher says Yahoo paid just under $30 million. The app generated no revenue.

According to Crunchbase, Summly has raised $1.53 million in venture funding from an impressive list of investors.

Summly

 Hong Kong billionaire businessman Li Ka-shing put $300,000 in the company in September of 2011. A year later, the rest of the money came from people like Brian Chesky, the CEO and founder of AirBnb, Mark Pincus, the founder and CEO of Zynga, Ashton Kutcher, Yoko Ono, Wendy Murdoch, and a few other big names in tech.

When Steve Jobs opened the iPhone's App Store, Nick D'Aloisio was only 12-years-old.

D'Aloisio taught himself how to make an app. Three years later he launched his own startup, Trimit, which truncated a news story into 140 characters for people that wanted to tweet out stories.

He realized people didn't want to truncate the news. They wanted the news truncated for them. So, he flipped the app and made Summly.

Previously it was reported Summly only had 500,000 downloads, which is not much for an app. D'Aloisio says Summly has had "90 million summaries read," whatever that metric means.

Here's the release from Yahoo announcing the deal:

Today, we’re excited to share that we’re acquiring Summly, a mobile product company founded with a vision to simplify the way we get information, making it faster, easier and more concise.

At the age of 15, Nick D’Aloisio created the Summly app at his home in London. It started with an insight -- that we live in a world of constant information and need new ways to simplify how we find the stories that are important to us, at a glance. Mobile devices are shifting our daily routines, and users have changed not only what, but how much information they consume. Yet most articles and web pages were formatted for browsing with mouse clicks. The ability to skim them on a phone or a tablet can be a real challenge -- we want easier ways to identify what’s important to us.

Summly solves this by delivering snapshots of stories, giving you a simple and elegant way to find the news you want, faster than ever before. For publishers, the Summly technology provides a new approach to drive interest in stories and reach a generation of mobile users that want information on the go.

Nick and the Summly team are joining Yahoo! in the coming weeks. While the Summly app will close, you will see the technology come to life throughout Yahoo!’s mobile experiences soon. So stay tuned!

Mobile devices are at the center of how we engage with the people, experiences and interests we love. Across Yahoo!, we’re focused on creating beautiful experiences that people are excited to use every day -- products that inspire and delight. We can’t wait to work with Nick and the Summly team to do just that.

And here's Summly's announcement:

In true Summly fashion, I will keep this short and sweet.

I am delighted to announce Summly has signed an agreement to be acquired by Yahoo!. Our vision is to simplify how we get information and we are thrilled to continue this mission with Yahoo!'s global scale and expertise. After spending some time on campus, I discovered that Yahoo! has an inspirational goal to make people's daily routines entertaining and meaningful, and mobile will be a central part of that vision. For us, it's the perfect fit.

When I founded Summly at 15, I would have never imagined being in this position so suddenly. I'd personally like to thank Li Ka-Shing and Horizons Ventures for having the foresight to back a teenager pursuing his dream. Also to our investors, advisors and of course the fantastic team for believing in the potential of Summly. Without you all, this never would have been possible. I'd also like to thank my family, friends and school for supporting me.

Most importantly, thank you to our wonderful users who have helped contribute to us receiving Apple's Best Apps of 2012 award for Intuitive Touch! We will be removing Summly from the App Store today but expect our summarization technology will soon return to multiple Yahoo! products - see this as a ‘power nap' so to speak.

With over 90 million summaries read in just a few short months, this is just the beginning for our technology. As we move towards a more refined, liberated and intelligent mobile web, summaries will continue to help navigate through our ever expanding information universe.

Sincerely,

Nick
Founder

Here's a demo video of Summly, which helped launch it:

Summly Launch from Summly on Vimeo.

Four Ways Publishers Can Optimize for Facebook's New News Feed

Facebook unveiled its "new" News Feed Thursday, and while we won't know the full range of effects it will have on the pages of brands and publishers for some time, Facebook has provided a few clues to help administrators optimize their pages ahead of its rollout.

First, let's take a look at the changes. The new News Feed is cleaner, more visual and has more filtering controls. The size of photos and videos have been enlarged, making the quality of visual media more important than ever before. That's great news for magazines and other publishers with deep photo resources; for publishers that rely largely on Creative Commons or stock imagery, the challenge is greater.

In addition to larger photos and videos, Facebook has introduced a number of "sub feeds" to give users greater control over what updates appear in their streams. Users can opt to view updates from All or just Close Friends, only photo updates, only music updates, only updates from pages and public figures they follow (i.e., subscribe to), only updates from Groups and only updates from game apps. They can also view updates in reverse-chronological order.

While these changes could have a negative impact on publishers' pages, particularly if users opt to spend all or most of their time viewing updates from their Close Friends, Facebook insists it could be a boon as well, because users can switch over to the "Following" feed to get updates outside their friend circles precisely when they want them.

Beyond those changes, the look of the new News Feed is far more consistent across smartphones, tablets and desktops than previously. For a visual overview of the alterations, click through our slideshow, or check out Facebook's official overview.
Optimization Strategies

Publishers can make some changes to their content to take advantage of the coming changes. Here's a few recommendations:

1. Invest in high-quality, high-resolution images. High-quality imagery is more important than ever before. Photos now make up nearly half of all News Feed stories, according to Facebook, up from 30% just a year ago. That growth is likely to accelerate now that Facebook is enlarging the size of photos in the News Feed. Facebook recommends publishers use images with a width of at least 552 pixels. As a bonus, publishers no longer need to upload full-sized images next to their story links. According to one Facebook source, Facebook will now display thumbnail photos pulled from story pages at the same size as images uploaded directly to the News Feed. As such, it's important for publishers to upload thumbnail images with a width of at least 552 pixels on their sites.


2. Improve your cover photo. Publishers may have had little incentive to invest in a great cover photo until now because it never showed up in the News Feed. That's about to change. When a group of friends Like or otherwise interact with a Facebook page, that Page may be highlighted in the News Feed with its cover photo on display. As Facebook says, "Having an engaging cover photo that tells your or your Page's story is even more important to improve your discovery through connection stories."

3. Post about trending topics. News stories about a single topic will be highlighted in thumbnail-rich carousels in the News Feed, like the one featuring Taylor Swift stories, below. Thus it may be more advantageous to share trending rather than outlier stories on Facebook.

4. Share different types of media. If publishers want to have a presence in users' sub feeds — namely, their photo and music feeds — consider sharing more photos, and linking a company Spotify or Rdio account to Facebook.

Identify any other optimization strategies for the new News Feed? Please share them in the comments section below.


Images courtesy of Facebook

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