Yahoo is acquiring Instagram co-founders’ AI-powered news startup Artifact

Yahoo announced on Tuesday its acquisition of Artifact, the AI-powered news app created by Instagram co-founders Kevin Systrom and Mike Krieger. The financial details of the deal were not disclosed.

After the acquisition, Artifact will no longer operate independently. Its AI technology will be integrated into Yahoo, including the Yahoo News app in the coming months. Systrom and Krieger will serve as advisors during this transition.

The decision to acquire Artifact comes after the app announced it would cease operations due to limited market opportunities. Although Artifact began as a news app, it evolved into a platform similar to Twitter, facing stiff competition from various rivals, including Meta's Threads.

Artifact's AI technology personalizes content for users, offering a tailored feed of news stories based on their interests. It also includes tools to summarize news, rewrite headlines, and surface top content. Yahoo plans to incorporate these capabilities to enhance its content experiences and personalization.

Kat Downs Mulder, SVP and general manager of Yahoo News, expressed excitement about continuing Artifact's technology and mission within Yahoo. Systrom emphasized the potential of Artifact's technology to benefit millions, with Yahoo's scale aiding its realization.