Venture firm launches $250M social startup fund

AP News
Posted: Oct 21, 2010 5:23 PM
Venture firm launches $250M social startup fund

Betting that the future of the Web is in social apps and services, venture capital firm Kleiner Perkins Caufield & Byers, along with Amazon, Facebook and Zynga are launching a $250 million fund to help such startups grow.

KPCB partner Bing Gordon, a former executive with Electronic Arts Inc., will head the fund, which the firm unveiled at Facebook's Palo Alto, Calif., headquarters Thursday.

Called "sFund," the investment is reminiscent of Kleiner Perkins' "iFund," which launched two years ago to help launch applications for Apple's gadgets.

"We're at the beginning of a new era for social Internet innovators who are reimagining and reinventing a Web of people and places, looking beyond documents and websites," said KPCB partner John Doerr in a statement. "There's never been a better time than now to start a new social venture."

Kleiner Perkins, a top Silicon Valley venture capital firm, was an early backer of such companies as Google Inc., Inc. and AOL.

Comcast Corp., Liberty Media Corp. and Allen & Co. have also agreed to invest.