Yahoo is considering a $50m bid for Qwiki, a New York startup that recently made an Apple app allowing users to automatically turn photos, music and videos into short movies.
According to AllThingD’s industry sources, Qwiki and Yahoo are in advanced stages of discussion over the acquisition.
The rumours come after Qwiki worked with Yahoo news partner ABC News last year on a publishing platform which would allow it to quickly create interactive stories, with reports suggest CEO Marissa Mayer could be looking to create a similar series of daily apps and services to reinvigorate Yahoo’s offerings.
Yahoo has also reportedly made an offer to buy a Xobni, another app developing startup, for $30m to $40m as it looks to develop mobile versions of Yahoo Mail.
Confirmation of the deals has not yet been made.