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Apr20
Social Networking Continues to Draw Investment Capital
While there's still some concerns on the part of investors that young people may leave social networking as fast as they embraced it, VC money has continued to pour in.

Facebook, which has valued itself at about 2 billion dollars, has sold a percentage interest to a group of VCs (Greylock, Meritech Capital, Accel and Peter Thiel) for $25 million. Not bad for an effort started two years ago by 3 Harvard students.

While Facebook has 7 million registered users, Visible Path is a new social networking effort that hopes to do for the corporate market what Facebook has done for students. In typical fashion for a hot VC niche, money is pouring in before the company has actually proven itself. It's more than a concept, but CEO Antony Brydon hasn't quite proved his theory that the enterprise will pay for his service, rather than individuals as in LinkedIn.

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