Reddit recently raised $200 million in its latest round of funding, placing the website’s value at $1.8 billion. The funds will be used to redesign its current layout and will focus on user-uploaded videos.
The funding was hosted by some of the wealthiest Silicon Valley venture capital firms including Andreessen Horowitz and Sequoia Capital. Reddit’s homepage is currently considered as the “front page of the internet,” and its redesign will allow for an easier interface that will promote more posts and activity. It will also include an updated news feed that will be similar to Twitter and Facebook.
Regarding initial public offerings, CEO Steve Huffman played down the idea and asserted the social news website will not be seeking to launch an IPO anytime soon.
“I think there are a lot of paths to liquidity. The one that we’re on often ends in an IPO. But we don’t have plans for that in the future that we can see… We want Reddit to be more visually appealing so when new users come to Reddit they have a better sense of what’s there, what it’s for,” Huffman said.
Reddit will also put a lot more focus on videos for the site. According to Recode, Reddit may also become a competitor for advertising dollars. The site has been in the advertising world for quite some time, but it didn’t really take advantage of it until 2015. Huffman reiterated that making money is not the company’s main priority and still wishes to focus the site on pleasing its users. In the site’s beta release of the new layout, it allowed users to upload videos for the first time, which gives insight into the increase of potential trafficking of the site.
Reddit has been the source of many laughs and news of interest for quite a while now, and it will be quite the change to see a new look after its recent funding.