News Corp. announced today that it has acquired social news agency Storyful for $25 million as a move to accelerate its "digital transformation" and video strategy.
Storyful is known for verifying news from social media, or in other words pulling out the real stuff from a sea of noise and hoaxes. News Corp. says it will use its own resources to enhance Storyful's products and services for newsrooms, advertising agencies and brands. It will also use Storyful to enhance its own publications.
News Corp. CEO Robert Thomson said, "Storyful has become the village square for valuable video, using journalistic sensibility, integrity and creativity to find, authenticate and commercialise user-generated content. Through this acquisition, we can extend the village square across borders, languages and platforms.”
“Video is a vocation for the new News, which will combine with Storyful to reach a growing global audience, enhancing our own editorial products and creating new content communities," he said.
Storyful CEO Mark Little added, “By joining forces with News Corp, Storyful can quickly transform its vision into a global reality. We believe that journalism in the age of social media needs to be open, innovative and collaborative, and so does the business model that will sustain it. News Corp is a natural fit for a company which wants to help reinvent the news industry.”
News Corp. considers the acquisition a complement to its existing video offerings like WSJ Live and BallBall.