Topix Receives $15 Million for Development and Marketing

By: Jennifer Saba Topix.net got an infusion of $15 million from its three majority owners Gannett, Tribune, and McClatchy.

The Palo Alto, Calif.-based company plans to use the money to fund development and marketing.

"We see ourselves as the technology arm for the newspaper business," said Chris Tolles, vice president of marketing at Topix. "We can provide a huge amount of technology and Web based thinking to engage their readers."

Tolles said that one of the most popular and fastest growing features on the news aggregation site is the ability for readers to comment on articles. Since it rolled out in February, the site receives over 16,000 posts a day from over 500,000 people, said Tolles.

That technology has been deployed at two pilot papers, the South Florida Sun-Sentinel in Ft. Lauderdale and The Indianapolis Star.

"Topix.net has not only delivered consistent audience growth, but has also created unique and innovative ways to keep consumers coming back for news, comments, and community," said Tim Landon, president of Tribune Interactive, in a statement. "With Tribune Interactive's intense focus on keeping consumers engaged online, our continued investment in Topix.net is an important part of our growth strategy."

Gannett and Tribune each hold a 33.7% stake in Topix while McClatchy owns 11.9%.