While Facebook ended up unveiling video for Instagram at its mystery event last week, it seems that the rumors about a news reader weren't completely off the mark.
In fact, Facebook is indeed working on a news reader, most likely a mobile app, to compete with the Flipboards of the world.
According to the Wall Street Journal, Facebook has been working on the project for more than a year now. It's unclear when the company plans to unveil the new product, or even if it will ever launch it.
At this point, the project is focused on the mobile experience with reading modes for both phones and tablets.
However, the desktop's site source code revealed some hints of a RSS reader being in the works. That's how the rumor of the news reader first started.
It was billed as a Google Reader alternative and set to launch last week. But it's now clear that Facebook had been working on its app for a long time when Google announced it was shutting down Reader.
While the company has apparently spent plenty of time on the project, it is just another clone. Facebook can't really innovate, it never did. Rather, the strategy of late has been “copy someone else's project and hope that the company's sheer size makes the clone successful.” It hasn't really been working.