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One of the big problems with starting a new service that relies on user submitted data is getting people to actually use it — nobody is going to routinely boot up your app if they don't have an incentive to do so. One way to tackle this problem is by working the service into a game, which is a technique that seems to be working quite well for Foursquare, a service that makes it easy to find your friends. GraffitiGeo is a new Y Combinator funded startup launching tonight that's looking to combine similar gameplay elements to take on a different space: restaurant reviews.At its core GraffitiGeo allows users to leave brief reviews of restaurants, or for those too lazy to do that, to simply leave a 'thumbs up' or 'thumbs down' — it's like a highly condensed version of Yelp, or a "Digg for the world".
Loopt, the New Enterprise Associates and Sequoia-backed mobile social network, has acquired a relative newcomer to the scene - Y Combinator startup GraffitiGEO. Multiple sources have confirmed the acquisition, although neither company is commenting.
GraffitiGEO, which launched just a couple of months ago, combines mobile social networking with reviews and games. It's somewhat similar to the surging foursquare, which has stolen some of the oxygen from the first generation mobile social networks like Loopt.
GraffitiGEO is also preparing to launch an augmented reality application that we previewed in August and that we suspect will launch shortly. Both GraffitiGEO apps fill holes in Loopt's product lineup, so the acquisition makes a lot of sense. Here's the video of the application that we included in that post: