While Rome Burned, Amp’d Used Venture Capital On Porn
Duncan Riley
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You just know that this is going to end in a Hollywood movie.
Matt Marshall at Venture Beat has the scoop on what the Amp’d team were spending part of their $360 million in venture capital on: porn.
According to the asset list from the Apm’d fire sale, the company acquired at least 100 porn DVDs; least that’s the number listed for the auction (we’d presume additional DVD’s were probably taken home).
As Matt put it so well “We’re still wondering how venture investors such as Redpoint (which lost $25 million in this) and Highland (which lost $50 million) could have let this happen.”
Amp’d declared bankruptcy June 2 owing $100 million.
Full coverage of the Amp’d meltdown on TechCrunch here.
UPDATE: A correction printed at Venture Beat notes that these might not have been DVD’s, but some sort of X rated content Amp’d produced, they look like DVD’s and certainly we are unwilling to repeat the names of them here to prove the point. Aside from the still very valid questions about how Amp’d blew $360million in funding and ran up $100million in debt, there are now some interesting questions as to why a company primarily marketing to teens was producing X-Rated content.
October 8th, 2007 at 8:24 am