Twitter Reportedly in Talks to Buy Flipboard
Twitter may be mulling a purchase of , a social aggregation app that lets users organize articles about the subjects that interest them into their own “digital magazine,” The possible acquisition would be an all-stock deal that would value Flipboard at more than $1 billion.
Flipboard was co-founded in 2010 by Mike McCue and Evan Doll. Prior to Flipboard, software engineer Doll worked on the iPhone at Apple and Silicon Valley fixture McCue sold his voice recognition tech startup TellMe Networks to Microsoft for more than $800 million and was a General Manager there.
Related: The Inside Story of Flipboard, the App That Makes Digital Content Look Magazine Glossy
While the discussions are reportedly at a standstill for now, there is a question of what both company’s would stand to gain from the rumored deal.
Twitter CEO Dick Costolo has been of late thanks to a , a lower than estimated report (and subsequent drop in stock) and the .
Related: Here’s How Much Twitter’s Co-Founders Lost in the Earnings ‘Leak’
As of last year, Flipboard had about 100 million active users, but like Twitter, has also seen a slowing of user growth. However, In January, the company rolled out a new ad feature called Promoted Items, so a Twitter partnership could help them bolster their branded content.
CEO McCue sat on Twitter’s board of directors, but in 2012. The Flipboard buy could be a way for Twitter to bring him back into the fold in a leadership position, perhaps as a possible successor to Costolo, while simultaneously shoring up the company’s product design — or potentially utilizing Flipboard’s publisher relationships to help power an initiative like Facebook’s recently launched Instant Articles.
Twitter and Flipboard did not immediately respond to a request for comment.
Related: Want to Know What’s Happening in Your Industry? This Addictive Magazine App Can Help.
Twitter may be mulling a purchase of , a social aggregation app that lets users organize articles about the subjects that interest them into their own “digital magazine,” The possible acquisition would be an all-stock deal that would value Flipboard at more than $1 billion.
Flipboard was co-founded in 2010 by Mike McCue and Evan Doll. Prior to Flipboard, software engineer Doll worked on the iPhone at Apple and Silicon Valley fixture McCue sold his voice recognition tech startup TellMe Networks to Microsoft for more than $800 million and was a General Manager there.
Related: The Inside Story of Flipboard, the App That Makes Digital Content Look Magazine Glossy
