--- title: "VC Web 2.0 List: Big Money For New Media and Marketing Companies" date: 2006-07-23 author: "Richard MacManus" categories: - name: "ReadWriteWeb" url: "/category/readwriteweb.md" tags: - name: "2006" url: "/tag/2006.md" --- # VC Web 2.0 List: Big Money For New Media and Marketing Companies SiliconBeat has [ published a list](https://web.archive.org/web/20091126152700/http://www.siliconbeat.com/entries/2006/07/21/the_venture_capitalists_web_20_list.html) of all “Web 2.0 companies” that received venture backing over 2005 and so far in 2006. The list was created by PricewaterhouseCoopers and the National Venture Capital Association. In the comments to SiliconBeat’s post, two prominent 2.0 VCs have dissed the list. [Peter Rip](https://web.archive.org/web/20091126152700/http://earlystage.typepad.com/) thinks it’s “ridiculous”, saying that “Web 2.0 is an investment fad, for sure, but this classification is pointless in its generality.” [Brad Feld](https://web.archive.org/web/20091126152700/http://www.feld.com/) agrees with Peter, noting that the classification is awful. Be that as it may, the list is a useful resource – at least in terms of quantifying certain things. The most interesting analysis I can think to do on it right now is seeing which companies have received the most funding. The resulting tables are below. In 2005 Vonage got a staggering $200 Million in VC backing, while a company called Datran Media Corporation (according to [its website](https://web.archive.org/web/20091126152700/http://www.datranmedia.com/) “a leading performance-based marketing company”) garnered $60M. Meanwhile in 2006 Sling Media (a TiVo competitor in the digital television space) has raked in $46M so far this year, with advertising software company Claria Corp (formerly Gator Corporation) pulling in $40M. ePrize, which bills itself as “an interactive promotion agency” is third on the 2006 list. RazorGator is another which has received over $20M in 2006 – they’re [an event ticket sales](https://web.archive.org/web/20091126152700/http://www.thealarmclock.com/mt/archives/2005/05/razorgator_prof.html) company. While I haven’t digged deep into the spreadsheet that was kindly offered up by SiliconBeat, it does seem noteworthy that the companies receiving the most funding are **media, advertising/marketing and e-commerce businesses**. Indeed recently I noted here on Read/WriteWeb that online advertising is [hot in 2006](https://web.archive.org/web/20091126152700/http://www.readwriteweb.com/archives/internet_advert.php) – and that seems to be borne out in the VC investment list. When it comes down to it, there aren’t many companies in the tables below that I’d have immediately classified as “web 2.0”. Let’s see… definitely Riya, Zimbra and Sharpcast – maybe a few others. But it seems the startups attracting VC dosh are in the new media, marketing and business sectors. Is that really a surprise? I’d suggest a little bit, but then a lot of so-called web 2.0 companies don’t require a lot of cash to do business (one of the hallmarks of this current era). On the other hand, it perhaps does suggest that the *real money* in this era will be made not on the trendy web 2.0 companies – but on the new media and marketing businesses. Thoughts anyone? ## 2006 – 1st Quarter – sorted by Amount NameIndustryAmountSling Media, Inc.Media and Entertainment46600100Claria Corporation (FKA: Gator.com)IT Services40000000ePrize, LLCIT Services32000000RazorGator, Inc.Media and Entertainment22800000Riverbed Technology, Inc. (FKA: NBT Technology, Inc.)Telecommunications19999900Netli, Inc.Telecommunications18000000Command Information, Inc.Software16000000mFormation Technologies, Inc.Software15300000Snocap, Inc. (FKA: Open Copyright Database, Inc.)Software15000000Riya, Inc.Media and Entertainment15000000Metaweb Technologies, Inc.Software15000000Cape Clear Software, Inc.IT Services15000000Zimbra, Inc. (FKA: Liquid Systems, Inc.)Software14500200Healthline Networks, Inc. (FKA: YourDoctor, Inc.)Media and Entertainment14000000Sharpcast, Inc.Software13500000Vcommerce Corporation (AKA: Vstore, Inc.)Media and Entertainment13000000StubHub, Inc. (fka; LiquidSeats)Media and Entertainment12310000## 2005- sorted by Amount **Name****Industry****Amount**Vonage Holdings CorporationTelecommunications200000000Datran Media CorporationIT Services60000000Azul Systems, Inc.Telecommunications42226800CEH Holdings, Inc.IT Services32320000Azul Systems, Inc.Telecommunications30133200Perfect Commerce, Inc. (FKA: eScout LLC)IT Services30000200Turbine, Inc. (FKA: Turbine Entertainment Software Corp.)Media and Entertainment30000000Art.com, Inc. (FKA: Allwall.com) (FKA: Pokers.com)Media and Entertainment30000000RazorGator, Inc.Media and Entertainment26000000Navio Systems, Inc. (FKA: Aplaud Technologies, Inc.)IT Services25400000The Vermont Teddy Bear CompanyConsumer Products and Services25331000SunRocket, Inc.Telecommunications25000000Revenue Science, Inc. (FKA: digiMine, Inc.)IT Services24181000eStyle, Inc. (AKA: Babystyle.com)Retailing/Distribution22215000Bitfone CorporationSoftware22000000Zappos.com, Inc.Retailing/Distribution20508000Glu Mobile (FKA: Sorrent, Inc.)Media and Entertainment20000100WhenU.com, Inc.IT Services20000000Altura International (aka; Shop.com)Media and Entertainment20000000IdenTrust, Inc. (FKA: Identrus, Inc.)IT Services20000000Shutterfly, Inc.Media and Entertainment20000000*Originally published on ReadWriteWeb ([archived copy](https://web.archive.org/web/20020204040018/http://www.readwriteweb.com/archives/vc_web_20_list.php))*