Friendster finds friends with money
Yep, it sure does feel like 1999. Tony Perkins first broke this story unofficially by joking about it at the MIT Lab sold-out event at Stanford where VCs and newly-degreed MBAs salivating were to be found everywhere. According to this Wall Street Journal story (subscription required):
Although still in its "beta," or testing, phase, the popular social-networking Web site has closed a $13 million financing round led by Kleiner Perkins Caufield & Byers and Benchmark Capital. Battery Ventures also participated in the funding, pushing the valuation of Friendster to around $53 million, say people familiar with the matter. Among those joining the Sunnyvale, Calif., company's board: Kleiner's John Doerr, Benchmark's Robert C. Kagle and Yahoo Inc.'s former chairman and chief executive, Tim Koogle.
..."Does it feel like 1999 again?" asks Andrew Anker, a general partner with August Capital in Menlo Park, Calif., and a backer of Emode. "In social networking, yes. I haven't seen anything like this in four years." Another venture capitalist who has steered clear of the sector cautions: "It's very bubblesque."