Reddit Closes A $50M Round Of Outside Funding, Guess Who Is Among The List Of Investors?
Reddit announced in a blog post the list of investors who helped the company secure $50 million round of venture capital funding.
The list included Sam Atlman, PayPal co-founder Peter Thiel, Ron Conway, Paul Buchheit, musician and actor Jared Leto, Jessica Livingston, Kevin and Julia Hartz, Mariam Naficy, Josh Kushner, Snoop Dogg (wait what? Snoop Dogg the rapper?), and Yishan Wong.
Sam Atlman is the lead investor in this round. He is the founder of Y Combinator — the startup that serves as incubators for others. Y Combinator helped launch reddit, and Atlman is an old fan of the website. He is also one of the first users of reddit.
Jared Leto is an academy award winner, musician, song-writer, and actor known for Requiem For A Dream. Leto has been involving himself in the tech industry for some time. He has been providing funding for human resources platform Zenefits. He also helped two tech startups — The Hive and VyRT — during their early stages.
Calvin Broadus Jr. a.k.a. Snoop Dogg is also an old fan of reddit. He has been a regular poster for years posting under the handle Here_Comes_The_King. He has done many AMAs (Ask Me Anything) with the redditors, and also moderates r/tree’s community of marijuana lovers.
Reddit will use this huge amount of money to improve their website by adding more features. They admitted that the users had been asking for more features, but they were unable to add those features because of small staff.
They are 60+ strong now and aim to add more. They will also work closely with third-party developers to offer more to mobile users, and pay for their technical requirements.
The company aims to give back to the community by letting the people of community own some part of reddit. They are thinking about how to do this. Here is what reddit had to say about their plan:
We think we’ve come up with a way. Led by Sam, the investors in this round have proposed to give 10% of their shares back to the community, in recognition of the central role the community plays in reddit’s ongoing success.
We’re going to need to figure out a bunch of details to make it work, but we’re hopeful. We’ll have more specifics to share about it soon, but in the meantime we wanted to mention it here.