Content sharing site, Reddit has closed USD 50 million in Series B funding round at a valuation of USD 500 million with intentions to give 10% of their shares back to the community. The round was led by Sam Altman, CEO of Y Combintaor, with participation from Alfred Lin of Sequoia Capital and Marc Andreessen of Andreessen Horowitz. The other investors also participated in the round includes Peter Thiel, Ron Conway, Paul Buchheit, Jared Leto, Jessica Livingston, Kevin and Julia Hartz, Mariam Naficy, Josh Kushner, Snoop Dogg, and Yishan Wong.
The company aims to utilize the raised funds to hire more staff for product development, expand community management team, build better moderation and community tools, work more closely with third party developers to expand its mobile offerings, improve self-serve ad product, build out Reddit gifts marketplace, pay for growing technical infrastructure, and all the many other things it takes to support a huge and growing global internet community.
Launched in 2005 by Co-Founders Steve Huffman and Alexis Ohanian, provides news, information, insight, and articles related to a wide range of topics as well as offers features and services such as eBooks, gaming video clips and much more. Recently, it had raised USD 100K in Seed investment and made an investment of USD 40 million in Image Hosting Website Imgur. The company is backed by 14 investors and having 18 competitors like Flipora, RatherGather, Quippd, Boxnutt, Tawkers and others.
Image Source: Tech Crunch