All the talk of Facebook's (NASDAQ:FB) Project Reader may soon be coming to fruition, with the launch of a news-reading service known as "Paper." Rumors suggest that Facebook Paper will resemble the popular news-reading app Flipboard and deliver content to Facebook users.
News has been a key strategy for tech players recently. Yahoo! just launched News Digest, an app that curates news stories into a simple design and delivers two issues daily. Twitter has also naturally focused heavily on expanding its presence as a dominant news dissemination service.
Like any good business, Facebook is trying to diversify its product portfolio. Its core product right now is the News Feed, where users spend the vast majority of their time. Adding some new things to do into the mix is the right call for the social network as a way to boost engagement and, it hopes, ad sales.
In this segment of Tech Teardown, Erin Kennedy discusses Facebook Paper with Evan Niu, CFA, our tech and telecom bureau chief.