Yahoo Acquires Instagram Co-Founders’ AI News Platform Artifact

Apr3,2024



Yahoo said on Tuesday it has acquired Artifact, the AI-powered news platform from the Instagram co-founders, and will incorporate its technology on the US web service provider's news and other sites.

The deal signals pain for media start-ups struggling to grow revenue at a time when Big Tech giants Alphabet and Meta platforms attract the lion's share of ad sales.

In January, Artifact said in a blogpost that it would cease operating its app because “the market opportunity is not large enough to continue investing in this manner.”

Yahoo, which also owns news brands TechCrunch, Engadget and Yahoo Finance, said Artifact's AI-powered recommendation engine and other features will help enhance its news operations and provide personalized content to audiences.

The online publisher also has a minority stake in content recommendation platform Taboola.

Yahoo, which declined to share financial details, was bought by private equity firm Apollo Global Management in 2021 for $5 billion (roughly Rs. 41,730 crore).

Artifact was launched in early 2023 by Systrom and Mike Krieger. He was first in the meta following the 2012 acquisition of Instagram by the company then known as Facebook.

The two left the Facebook owner in late 2018, which some media reports later said was due to their strained relationship with Meta boss Mark Zuckerberg and differences in their vision for Instagram.

Systrom and Krieger will work with Yahoo in an advisory capacity during this transition, Yahoo said in a statement.

© Thomson Reuters 2024


Affiliate links may be automatically generated – see our ethics statement for details.

Related Post

Leave a Reply

Your email address will not be published. Required fields are marked *