NEW YORK, Aug. 11 (UPI) -- Entertainment and news site Buzzfeed raised $50 million from Silicon Valley venture capital firm Andreessen Horowitz, valuing the company at $850 million.
The company, which started in 2006, started by posting shareable content including lists, photos and memes, but has recently increased its focus on traditional news coverage. The cash infusion will be used to add new news sections, create an in-house incubator to fund new technology and to put more resources behind its video company, BuzzFeed Motion Pictures.
According to Andreessen Horowitz general partner Chris Dixon wrote in a blog post that the venture capital firm invested in Buzzfeed because it was a full stack startup -- a company that approaches a service and product in a new way.
"We're presently in the midst of a major technological shift in which, increasingly, news and entertainment are being distributed on social networks and consumed on mobile devices," wrote Dixon. "We believe BuzzFeed will emerge from this period as a preeminent media company."
Dixon was an early investor in Buzzfeed when he was a partner at New York venture firm Founder's Collective, and will now join its board of directors.
Buzzfeed has 150 million visitors a month and is expected to generate over a hundred million dollars in revenue this year, according to Dixon.