Digg remains independent ... for now

Posted Dec 28th 2006 7:14PM by Melly Alazraki
Filed under: Other Issues, Deals

Digg Inc. of San Francisco has been subject of many rumors as the next social networking site to be purchased by one of the bigger Internet companies. Well, at least for now, Digg will remain independent as it raised $8.5 million in new financing from Greylock Partners and the Omidyar Network -- eBay Inc.'s (NASDAQ:EBAY) founder investment group.

Digg is a site where users submit links of news articles, blog posts, podcasts and videos as well as other Internet content. Readers vote on the submissions, or rather "digg" them. The items with the most diggs stay published on the site in order of their ranking (the amount of diggs).

Digg, a two-year-old start-up, has become increasingly popular and now ranks among the top 100 sites or top 150 sites according to different measures. Digg has been the subject of much discussion regarding the its acquisition by larger media players.

Digg is not without competition and the company has yet to reach profitability. However, its independence does make it unique and with this infusion of funds the company could concentrate on development of personnel and features as its Chief Executive, Jay Adelson said.

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