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Apple Buys Topsy

The Wall Street Journal:

Apple Inc. has acquired social-media analytics firm Topsy Labs Inc. for more than $200 million, according to people familiar with the matter.

Of all the acquisitions that Apple did in 2013, this is one of the most interesting ones to me. Topsy was capable of analyzing trends in tweets and it was one of the few official Twitter partners with access to the full Twitter firehose (including all tweets starting from 2006).

There are many possibilities opened by this kind of access and technology. At TechCrunch, Matthew Panzarino imagines that Topsy’s technology could be useful to improve Twitter search tools built into Siri:

There is also a slim possibility that Apple may want to use Topsy’s stored trends data and firehose access to improve Siri search. It could provide Siri with a reliable way to present people with trending topics and search results according to Twitter when queried.

As Panzarino also speculates, however, I believe that there’s real potential in Twitter analysis algorithms used to augment iTunes and App Store discovery for media, and especially apps. Imagine being able to determine in (almost) real-time the kind of buzz that an app is getting by analyzing tweets sent by humans (not bots or websites) about a new app release. I’ve written about this before, and smaller third-party companies have already tried to provide their own layer of App Store discovery tools by triangulating signals from App Store charts, online reviews, and social networks.

And, of course, there’s the TV rumor: Twitter has become the de-facto destination for real-time TV commentary by millions of watchers, with the company going as far as surveying a subset of users about live TV viewing habits in their latest iOS app update. Topsy’s firehose access and algorithms could have endless potential for Apple’s rumored television plans.

As John Gruber notes, it is a curious acquisition. Apple may have bought Topsy for its team or technology or patents, but the fact that Topsy was highly specialized in Twitter tools and that Apple already has native Twitter integration in iOS and OS X creates several interesting scenarios. Although, as we’ve seen with the Chomp acquisition, this kind of changes can take a long time.