CNN buys iPad news reader Zite

Aug 30, 2011
Customers try the Ipad 2 at the Apple store on Fifth Avenue in New York, in March 2011. US cable television network CNN announced Tuesday that it has bought Zite, a Canadian company that makes a personalized news reader for the iPad.

US cable television network CNN announced Tuesday that it has bought Zite, a Canadian company that makes a personalized news reader for the iPad.

CNN did not say how much it paid for the San Francisco- and Vancouver-based Zite, which was launched in March, but technology blog All Things Digital put the purchase price at $20 million to $25 million.

CNN said Zite will be a wholly owned subsidiary of the Atlanta-based and will operate as a separate, stand-alone business.

"Zite represents the next generation of content discovery and personalized publishing, and CNN wants to help lead in that space," CNN digital manager KC Estenson said.

"We think we can advance the industry in a meaningful way that helps content creators expand their businesses while growing the distribution of a product that people already love," Estenson said in a press release.

Like other news aggregators such as Flipboard, Pulse, Taptu and AOL's Editions, Zite uses algorithms to take a reader's interests and behavior into account in serving up their pages.

Zite's technology can "help CNN's websites and apps serve more personalized content, making our current digital services even better," CNN said.

Zite chief executive Mark Johnson said the acquisition by CNN "gives us the capital to grow Zite's business and continue to innovate in the space."

said Johnson will continue to run Zite's day-to-day operations while Zite founder Ali Davar will remain as executive director.

Shortly after its launch, Zite was accused of by The , Dow Jones, . and other news organizations and told to stop displaying their articles.

Instead of directing a reader to the websites of the news organizations, where they display online advertising, Zite had been showing some articles reformatted in a pop-up window without ads.

After receiving the "cease-and-desist" letter, Zite began linking directly to the websites of the complaining publications.

Explore further: Jury says Silicon Valley firm did not discriminate (Update)

add to favorites email to friend print save as pdf

Related Stories

Zite news app accused of copyright infringement

Mar 31, 2011

The Washington Post, Dow Jones, Time Inc. and other news organizations have accused iPad news reader Zite of copyright infringement and told the Canadian startup to stop displaying their articles.

Recommended for you

Intel in talks with Altera on tie-up

Mar 27, 2015

US tech giant Intel is in talks with rival Altera on a tie-up to broaden the chipmaker's product line amid growth in Internet-connected devices, the Wall Street Journal reported Friday.

Apple chief Cook to give his wealth away: Fortune

Mar 27, 2015

Apple chief Tim Cook is joining Mark Zuckerberg, Bill Gates and other technology titans who have vowed to donate their wealth to charities, according to a report in Fortune magazine.

BlackBerry tops 4Q profit forecasts

Mar 27, 2015

BlackBerry posted a surprise profit in the fourth quarter, but saw a sharp drop-off in revenue as the once-iconic smartphone company said it reached the halfway mark of its turnaround effort.

User comments : 0

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.