Facebook Launches Fund for Applications Developers

Speaking at TechCrunch40, Facebook CEO Mark Zuckerberg popped out a surprise announcement minutes ago: The company, with Facebook investors Jim Breyer of Accel Partners and Peter Thiel of the Founders Fund, has created a $10 million FB Fund, which will distribute grants of $25,000 to $250,000 to companies that want to create (or have created) “innovative and disruptive” applications on top of Facebook. (My initial headline implied that Facebook would fund it, but only Accel and Founders are supplying the money.) Since the announcement of Facebook’s applications platform in May, such applications have exploded, from slides shows to games, with some garnering hundreds of thousands of users. The fbFund will be run by Chamath Palihapitiya, Facebook’s VP of product marketing & operations. Thiel, Breyer, LinkedIn founder and Web investor Reid Hoffman, Stanford prof (and early Google mentor) Rajeev Motwani, and First Round Capital’s Josh Kopelman will be on the advisory board.

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