The $100m RSS fund

Last week saw the announcement of the creation of a $100m VC fund exclusively aimed at RSS investments. RSS Investors, as the fund is known, “will invest in companies working on different aspects of the technology, such as better security and new ways of managing the traffic on Internet content,” according to the SF Chronicle.

The fund was one of the hot topics of conversation at the AlwaysOn/Technorati Open Media 100 reception on Thursday. Those I spoke to seemed enthusiastic but bemused – are there really enough companies to fund to the tune of $100m using RSS? Even if you extend it to include podcasting, will this fund find enough companies to back fast enough to give a good return? It will be interesting to see if their timing is good. At the moment, they’ve got $20m from LPs and seem confident of getting the rest. If they’re right, it’s going to be an exciting few years in the content distribution and media space.

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