Andreessen Horowitz, a Venture Capital firm, is investing $50 million in BuzzFeed, the social news and entertainment website known for producing advertising-sponsored "listicles" that go viral, according to Reuters.
Chris Dixon, a general partner at the venture capital firm, said in a blog post that he would be joining BuzzFeed's board, Reuters reported. His arrival comes three months after Jon Steinberg said he would step down as president and chief operating officer.
"BuzzFeed now reaches over 150 million people per month, is consistently profitable, and will generate triple digit millions in revenues this year," Dixon said, according to Reuters.
Founded in 2006, BuzzFeed is among the top 10 most-visited news and information sites in the United States, joining the ranks of long-established media outlets such as CNN and the New York Times, according to Reuters.
"The future of content companies is crystal clear: mobile, video, social and tech," Kenneth Lerer, BuzzFeed's executive chairman, said in a statement, Politico reported. "Expanding BuzzFeed's business across each of these areas is the key to the future. With distribution fully built out, content is the future and this expansion will allow us to create more and more content across the social web."
The influx of capital, which values the social news and entertainment site at $850 million, will allow for expansion across BuzzFeed's business, including the creation of a "motion picture unit" and the launch of sites in Berlin, Mexico City, Tokyo and Mumbai," according to Politico.
Andreessen Horowitz's investment more than doubles BuzzFeed's funding, Reuters reported. While BuzzFeed is known for its viral content, it has made a push into serious journalism, an effort that began two years ago when it hired former Politico reporter Ben Smith as editor-in-chief.
A BuzzFeed spokeswoman confirmed the investment and said it would be announcing more detailed plans Monday, according to Reuters.
