CNN sells Zite news reader app to Flipboard

CNN has sold its personalised news reader service Zite to news-magazine app Flipboard, in a deal estimated to be worth up to US$60 million (€43.7 million) over time.

As part of the deal, Flipboard has teamed up with the news network launch custom magazines for selected CNN shows. CNN is also fully available on Flipboard, where its been paginated and re-designed for mobile audiences.

The estimated price-tag takes into account future advertising revenue, CNN reported, citing a source familiar with the deal. Financial terms were not formally disclosed.

Announcing the Zite deal and CNN partnership, Flipboard CEO Mike McCue said: “We acquired Zite from CNN to address something we’ve heard from a lot of you: although you can already read thousands of sources from over 20 regions on Flipboard, you want easier and better ways to discover content about the things that matter to you. Adding Zite’s expertise in personalisation and recommendations to Flipboard’s product experience and powerful curator community will create an unparalleled personal magazine for our millions of readers.”