AAPL Stock: 117.81 ( -0.22 )

Printed from

Apple's Matcha buyout made for recommendation engine, sources say

updated 04:27 pm EDT, Thu August 15, 2013

Actual price of takeover estimated between $10-15 million

Apple's recent buyout of video discovery service Matcha was about getting the company's recommendation engine, which is based on a proprietary algorithm, sources indicate. Matcha is in fact said to have been picked up right after it "found the answer" -- with algorithm refinements -- to user growth and time spent in-app. User acquisition and engagement was allegedly the specific appeal to Apple, which found that Matcha did a better job than competing apps.

The sources note that the deal took place before Matcha's shutdown in May, and was worth far more than has been rumored. While some early claims put the pricetag at $1 to $1.5 million, Apple is said to have actually spent at least eight figures, more likely an amount between $10 and $15 million.

The Matcha app let users scan multiple services -- such as iTunes, Netflix, HBO, and Hulu -- to find appealing shows and movies. Apple's plans for the technology are unknown, but it could be used to help people sort through content on the Apple TV and/or the iTunes Store. iTunes now has a substantial video library. The issue, though, is that renters and shoppers are usually left to sort through genres, top charts, and pre-picked categories, rather than selections based on their tastes.

by MacNN Staff



Login Here

Not a member of the MacNN forums? Register now for free.


Network Headlines

Follow us on Facebook


Most Popular


Recent Reviews

Ultimate Ears Megaboom Bluetooth Speaker

Ultimate Ears (now owned by Logitech) has found great success in the marketplace with its "Boom" series of Bluetooth speakers, a mod ...

Kinivo URBN Premium Bluetooth Headphones

We love music, and we're willing to bet that you do, too. If you're like us, you probably spend a good portion of your time wearing ...

Jamstik+ MIDI Controller

For a long time the MIDI world has been dominated by keyboard-inspired controllers. Times are changing however, and we are slowly star ...


Most Commented