Instant Messaging Firm Raises $10.6 Million

ActiveBuddy Inc. Tuesday reported it has raised $10.6 million in two rounds
of financing. Both rounds were led by Wit SoundView Ventures, a venture
capital unit of Wit SoundView Group Inc., and Reuters, the global news
service.

“We are focused on funding early-stage companies that build innovative
services and technologies,” said Andy Weissman, managing director of Wit
SoundView Ventures and a member of ActiveBuddy Inc.’s board of directors.
“We believe the technology and management team of ActiveBuddy will
revolutionize the way information is accessed on the Internet. In this
increasingly competitive business, ActiveBuddy is already ahead of the
game.”

ActiveBuddy Inc., which develops programming for the Instant Messaging
platform, secured a seed round of $4.25 million led by Wit SoundView
Ventures’ Dawntreader Fund II in April 2000, during round one.

During the second round of funding, the company raised an additional $2
million from Wit SoundView Ventures. Reuters also contributed to this round
with an investment of $4 million. Further, Reuters has agreed in principle
to a strategic content distribution relationship with ActiveBuddy.

ActiveBuddy provides Internet users with instant gratification, according
to Peter Levitan, chief executive officer of ActiveBuddy Inc.

“We are focused on taking the Internet to a faster, more efficient and
convenient level with Instant Messaging as the platform,” he said. We are
thrilled that Wit SoundView Ventures and Reuters recognize the significance
of our work and have joined us in this endeavor.”