Friendster gets $20-M funding for more workers

MANILA, Philippines - Social networking site Friendster on Wednesday said it had obtained $20 million in funding, most of which will go to hiring professionals and setting up offices in Asia. In a phone interview, Friendster Vice-President for Global Marketing David Jones said the $20-million loan from investor IDG Ventures would allow Friendster to extend its leadership position in Asia-Pacific, where more than a third of the world’s Internet users are located. "We intend to hire more people in Asia. At the moment, half of our employees are already from the region," Mr. Jones said. "Of the engineers and sales and marketing people we plan to hire, 80% will come from the Philippines, Malaysia and Singapore," he added. Mr. Jones noted that aside from enhancing the technology that Friendster uses, they are also busy building sales and marketing teams that can come up with country-specific marketing strategies. While Friendster is credited for being one of the pioneering social network sites, competitors like Facebook and MySpace are fast gaining ground. Despite this, Mr. Jones is confident Friendster will continue to maintain its lead, at least in the region. According to the June 2008 findings of comScore Media Metrix, Friendster is the top social network in Asia with over 55 million registered users and 33 million monthly "unique visitors" from Asia. Mr. Jones noted that based on July 2008 figures, Friendster had 57 million unique visitors in Asia, with 20 million coming from the Philippines alone. A unique visitor is one who clicks or logs onto the site within a specific period of time. Friendster also announced Richard Kimber as its new chief executive officer. Also a member of Friendster’s board of directors, he will be responsible for leading the company’s global business and guiding operations in Asia and the US. Citing Friendster’s growth rate in the region, Mr. Kimber said in a statement that the Internet "would probably become one of the greatest liberators of our time." "Utilizing the Internet to connect to your friends is one of its greatest benefits and is changing the way relationships work globally," he added. — Raoul J. Chee Kee, BusinessWorld