BuzzFeed Gets $50 Million Investment to Become ‘Preeminent Media Company’
By Sounak Mukhopadhyay | August 12, 2014 8:40 AM EST
Entertainment website BuzzFeed got $50 million more for its future plan to become one of the major media companies. Venture capital company Andreessen Horowitz funded $46.3 million to make it BuzzFeed's most successful funding campaign so far.
A man rests in a mud pit near the main stage at the Woodstock Festival in Kostrzyn-upon-Odra, close to the Polish-German border, August 2, 2014. Some 500,000 people attended the festival that is the brainchild of Polish journalist and social campaigner Jerzy Owsiak. He initiated the event to say thank you to those who donated money to his GOCC charity organisation that delivers medical care for children.
Andreessen Horowitz investor Chris Dixon said that BuzzFeed would "emerge from this period as a preeminent media company." "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," Dixon wrote in a blog.
Dixon compared BuzzFeed with iconic media figures like Viacom, CBS and Time. "Many of today's great media companies were built on top of emerging technologies," he wrote, "Examples include Time Inc. which was built on color printing, CBS which was built on radio, and Viacom which was built on cable TV."
BuzzFeed claimed to value itself around $1 billion, according to earlier reports. There were other reports in April that claimed that the entertainment website was in talks with the Walt Disney Company. Disney apparently refused to pay $1 billion which BuzzFeed demanded during that time.
BuzzFeed has managed to get $96.3 million so far since 2008. According to reports, BuzzFeed will invest more on rich media content in the future. There will be more investments in acquisitions, in-house incubator for tech start-ups and online videos. Andreessen Horowitz has so far invested in big media companies like Skype, Pinterest, Foursquare, Twitter and Facebook.
Dixon said that the company he had invested in took the Internet seriously. He said that older formats like videos, photos and longer essays were being replaced by Internet formats like tweets, animated GIFs, pins and lists. He also said that the entertainment website had 150 million visitors in a month. BuzzFeed will earn "triple digit millions" in 2014, he predicted.
BuzzFeed will reportedly introduce new sections of content as it would add more value to its video arm, BuzzFeed Motion Pictures, based in Los Angeles.
Contact the writer: s.mukhopadhyay@IBTimes.com.au
To contact the editor, e-mail:
Most Popular Slideshows
- Derek Jeter With The New York Yankees Through The Years [IN PICTURES]
- George Clooney And Amal Alamuddin's Wedding In Venice: Photos Of Groom And His Family, Friends [Slideshow]
- NFL Recap - Week 4: Green Bay Packers 38, Chicago Bears 17 [PHOTOS]
- Kendall Jenner Rocks Semi-Nude Balmain Lattice Dress At Paris Fashion Week [PHOTOS]
Join the Conversation
- Apple Inc (AAPL) Stock Rises Again Despite Bendgate, iOS 8 Bugs; Samsung Stock At Two-Year Low
- Hong Kong Protests Cause Closure Of Banks & Instagram Outages In China
- Federal Court Orders Coles To Hang Signs For 3 Months That It Passed Off Par-Baked Bread As Fresh From The Oven
- Ello Pegged As The Anti-Facebook Social Network
- Forget Nexus 6 Release Date, Android Phones Will Soon Showcase Pure Google Apps & Features
- Galaxy Note 4 Pre Order Starts in the US, Get Samsung Note Ahead of October 14 Release
- $249.99 Motorola Moto 360 Smartwatch's First Promo Out; 'Stone Leather' Replaces 'Gray Leather' - Available In BestBuy [Watch Video]
- iPhone 6 vs Moto G 2014: Motorola’s Budget Smartphone Takes On Apple’s Premium Smartphone
- BlackBerry Passport Sold Out As Preorders Reached 200,000
- iOS 8 And iOS 8.0.2 Security Flaw Revealed, Anyone Can Easily Bypass Touch ID And Passcode Security Features
- Australia Cracks Down On International Money Laundering Syndicate