NEW YORK ( TheStreet) -- After it was revealed Yahoo! (YHOO) was looking at a few small acqui-hires and a couple larger companies as part of its acquisition strategy, Yahoo! has decided to announce the smaller deals first and save the larger ones for later.
On Yahoo!'s corporate blog, the company announced it would be acquiring Summly, a mobile product company designed to get information faster, easier and more concisely to users. The company was founded by then 15-year old Nick D'Aloisio in London as a way to get the information we want most in a way that's the most concise.
"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," Yahoo! wrote on its blog.
Though the deal is not finalized, Yahoo! expects it to close in the second quarter.This is the second acquisition Yahoo! has announced in recent weeks, also adding Jybe, a personalized recommendation company. It's clear that Yahoo! and CEO Marissa Mayer are intent on once again making Yahoo! the world's homepage with these acquisitions. Yahoo! still commands an incredible amount of traffic (some 700 million monthly users), and the need to turn core Yahoo! around is continuing to take shape. Perhaps Jybe and Summly were part of the six smaller talent "acqui-hires" that Yahoo!'s Jackie Reses spoke about earlier this month. That still leaves the two larger companies Yahoo! is working on acquiring as anyone's guess. I suggested that Yelp (YELP), Zynga (ZNGA) or Pinterest could be a target for Mayer, as she looks to spend some of her $6 billion in cash. Discussing Yahoo!'s fourth-quarter earnings, Mayer alluded to the fact Yahoo! needs to be more personal. "The combination of more personalized content and increased product innovation will be key in getting us back to a path for Display revenue growth," she said. The CEO also added Yahoo! would have "some content costs, which you'll see as we make some of these developments." Summly and Jybe fit the bill of making Yahoo! more personal. It remains to be seen which of the larger companies can help Mayer and Yahoo! achieve its goals. One thing is clear however, Mayer believes content is king, and her vision for Yahoo! is starting to play out right before our eyes. Now, all she has to do is monetize them. -- Written by Chris Ciaccia in New York >Contact by Email. Follow @Commodity_Bull
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