Tencent invest $150m in Reddit pushing its value to $3b

Reddit Raises $300 Million At $3 Billion Valuation, With Tencent Among Backers

Reddit Raises $300 Million At $3 Billion Valuation, With Tencent Among Backers

Chinese tech giant Tencent has invested 150 million US dollars in American online forum site Reddit, with the social news aggregator confirming Monday that it attracted 300 million USA dollars in a fundraising round that values the company at more than three billion US dollars.

In the past, Chinese authorities have blocked information related to the crackdown against protesters in Beijing's Tiananmen Square on the anniversary of the event.

Tencent and other investors are looking to help Reddit better monetize its already large user-base, but many people have claimed that this is a massive conflict of interest for the Chinese conglomerate.

Reddit plans to use the funding to expand internationally and grow its ad platform.

A Pooh picture, voted to near the top of the Reddit homepage, had the caption: "Since Reddit took a US$150 million investment from Chinese censorship company Tencent, please welcome our leader President Xi".

Reddit users were quick to question the move as the site is now blocked in China due to the country's notorious censorship laws.

Users also often photos of Winnie The Pooh to poke fun of Chinese President Xi Jinping's appearance.

Tencent has invested in a broad array of companies, including Tesla, Snapchat-parent Snap and Epic Games - the maker of popular video game "Fortnite". Last week reports said that Tencent would be investing $150m (£115m) into the platform.

Reddit was co-founded by Mr Alexis Ohanian, husband of tennis superstar Serena Williams.

Reddit, which calls itself "the front page of the Internet", has estimated 330 million monthly users and was the third-most-visited website in the U.S.as of February 2018, according to Alexa Internet. Reddit users swarmed several of the submissions, pushing them to the list of most popular posts.

Reddit is also known for "ask me anything" sessions with well-known people such as Microsoft co-founder Bill Gates and former USA president Barack Obama.

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