Screenshot by Steven Musil
Entertainment and news site BuzzFeed has closed a $50 million investment from Silicon Valley venture capitalist Andreessen Horowitz.
The New York-based company, which was founded in 2006, tracks and serves up the content that is getting the most attention on the Internet to its 150 million average monthly viewers. The investment gives the company a valuation of $850 million, according to the New York Times, which first reported the investment.
BuzzFeed attracted the venture capital investor's attention by being a "full stack startup" -- a company that takes a new approach to a service or product that bypasses existing companies -- Andreessen Horowitz general partner Chris Dixon wrote in a blog post Sunday evening.
"We're presently in the midst of a major technological shift in which, increasingly, news and entertainment are being distributed on social networks and consumed on mobile devices," wrote Dixon, who as part of the investment, will join BuzzFeed's board of directors. "We believe BuzzFeed will emerge from this period as a preeminent media company."
BuzzFeed, which has more than 200 editorial employees, plans significant investment in high-quality content in the coming years, Dixon wrote. The site is consistently profitable and will generate "triple digit millions in revenues" this year.
The latest financing brings the company's funding raised to just over $96 million. Hearst Interactive Media and SoftBank were among early investors in the company.Tags: Internet About the author