NewsGator bites on $12 million

Even though many people don't know what RSS is about, there are still millions of users. After all, if you get newsfeeds from places like Google (NASDAQ: GOOG), Yahoo (NASDAQ: YHOO) or Facebook, then you are an RSS user.

Well, one of the big players in the space -- NewsGator -- has raised $12 million in venture capital. The investors include Vista Ventures, Mobius, Venture Capital, and Masthead Venture Partners. In all, NewsGator has raised a cool $30 million.

The company has a consumer product, which can make your life easier (especially if you are a news junkie). For example, the NewsGator back-end platform processes about seven million new articles per day.

What's more, there are several enterprise products, which sync nicely with ubiquitous Microsoft (NASDAQ: MSFT) applications. In fact, there are more than 100 Fortune 2000 customers.

Greg Reinacker, who is the founder and CTO of NewsGator, did a write up on the deal for his blog. And, if you want to check out other venture capital deals, visit DealProfiles.com.

Tom Taulli is the author of various books, including The Complete M&A Handbook and The Edgar Online Guide to Decoding Financial Statements.